The Nigeria Customs Service (NCS) has announced that it exceeded its 2025 revenue target, generating an impressive ₦7.277 trillion despite several government-backed tax waivers and fiscal incentives that reduced potential earnings. Buoyed by the strong performance, the agency is now seeking approval for an ambitious ₦11.274 trillion revenue target and a corresponding budget for the 2026 fiscal year.
Speaking during the agency’s budget defence before the House of Representatives Committee on Customs and Excise in Abuja, Comptroller General of Customs Bashir Adewale Adeniyi disclosed that the Service surpassed its 2025 revenue target of ₦6.584 trillion by 10.24 percent. He attributed the achievement to improved operational efficiency, enhanced revenue collection strategies, and ongoing reforms aimed at strengthening customs administration across the country.
Adeniyi explained that the agency’s performance came despite the Federal Government’s implementation of several fiscal incentives, including import duty waivers on healthcare products, compressed natural gas vehicles, electric vehicles, and other tax relief measures designed to stimulate critical sectors of the economy. He noted that these incentives inevitably reduced customs revenue but did not prevent the Service from surpassing its target...READ THE FULL ARTICLE HERE .
For the 2026 fiscal year, the Customs Service is proposing a revenue target of ₦11.274 trillion, comprising ₦5.542 trillion from federation revenue, ₦1.495 trillion from non federation revenue, ₦2.973 trillion from import Value Added Tax, and ₦1.264 trillion from the four percent Free on Board collection introduced under the new Nigeria Customs Service Act. The agency also proposed more than ₦620 billion for capital projects, ₦421.7 billion for personnel costs, and ₦307.77 billion for overhead expenditure to strengthen infrastructure, improve staff welfare, and boost operational efficiency.
The Customs boss further revealed that technology driven reforms, including the full deployment of the Unified Customs Management System, improved post clearance audits, stronger stakeholder engagement, and enhanced trade facilitation measures, will drive the agency’s 2026 revenue ambitions. He also announced reductions in import levies on vehicles, with the levy on used vehicles reduced from 15 percent to five percent and that on new vehicles cut from 20 percent to 10 percent as part of the Federal Government’s broader fiscal policy to ease costs for Nigerians. (Vanguard News)
Members of the House Committee on Customs and Excise welcomed the presentation and pledged to thoroughly scrutinise the proposals before submitting their recommendations to the House of Representatives. The committee also urged the Nigeria Customs Service to ensure Nigerians are adequately informed about the reduction in vehicle import levies so that citizens can benefit from the government’s policy measures. If approved, the proposed budget is expected to strengthen the Service’s capacity to increase revenue generation, facilitate legitimate trade, and contribute more significantly to Nigeria’s economic growth.
