Nigeria’s value‑added tax (VAT) revenue collections rose sharply to N2.06 trillion in the second quarter of 2025, according to a recent National Bureau of Statistics (NBS) report. This figure represents a 32.15 percent year‑on‑year increase from the N1.56 trillion recorded for the same period in 2024. Compared with the first quarter of 2025, VAT collections were essentially unchanged, slipping by only 0.03 percent while remaining at N2.06 trillion.
The revenue breakdown shows that local VAT payments contributed N1.09 trillion, foreign VAT payments accounted for N459.95 billion, and import VAT added N508.55 billion. Sectoral performance varied markedly. Real‑estate activities posted the strongest growth, surging 155.21 percent quarter‑on‑quarter. The agriculture, forestry and fishing sector and the information and communication sector also recorded solid gains of 23.64 percent and 17.75 percent, respectively. In contrast, human health and social work activities experienced a steep decline of 68.34 percent, while electricity, gas, steam and air‑conditioning supply fell by 45.20 percent.
The NBS report highlights these fluctuations in VAT revenue across different sectors, offering insight into Nigeria’s broader economic performance. While the overall rise in VAT collections signals positive economic momentum, the pronounced downturns in certain sectors underscore ongoing challenges. As Nigeria continues to navigate its economic landscape, VAT revenue will remain a key indicator for assessing the impact of policy measures and sectoral dynamics on the country’s fiscal health.
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