Former Anambra State Governor Peter Obi has cautioned that Nigeria could worsen poverty and weaken national unity by adopting tax policies that further strain citizens who are already struggling
In a statement shared on X, Obi argued that true prosperity cannot come from measures that make people poorer, stressing that sustainable economic progress must rest on trust, honesty, and productivity.
He said policies that erode citizens’ wellbeing ultimately damage the social bond between the government and the governed.
Reflecting on his interactions with leaders around the world, Obi said nations that achieved lasting transformation did so by rallying their people around a common vision rooted in truth. He warned that leadership lacking honesty destroys consensus and undermines development.
“As I travel the world and meet leaders who have transformed their nations, one lesson is clear: lasting economic and social progress begins with national consensus. Transformative leaders share a defining quality; honesty. Government must be transparent and truthful because citizens deserve nothing less from those who lead them.”
Obi maintained that taxation should function as a genuine social contract based on fairness, sincerity, and concern for citizens’ welfare. He said every tax policy must be clearly explained, including how it affects incomes and how the proceeds are used for national development.
“If taxation is to function as a genuine social contract, it must be rooted in sincerity, fairness, and concern for the welfare of the people. Without transparency, taxation becomes a tool of confusion and burden rather than a mechanism for growth and development.”
According to Obi, Nigeria’s fiscal challenge goes beyond revenue generation and should focus on making citizens wealthier so the country can grow stronger. He said Nigerians are being asked to pay more taxes without clear explanations, accountability, or visible public benefits.
He identified the empowerment of small and medium-sized enterprises as the foundation for sustainable growth, noting that vibrant small businesses create jobs, boost incomes, and naturally expand the tax base.
“The solution begins with empowering small and medium-sized enterprises in every community. You cannot tax your way out of poverty, you must produce your way out of it.”
Obi also raised concerns over what he described as an unprecedented tax fraud controversy, alleging that a tax law currently being enforced is not the same version passed by the National Assembly. He said reports suggest the legislature itself has acknowledged discrepancies between what was approved and what was eventually gazetted.
“For the first time in Nigeria’s history, a tax law has reportedly been forged. Yet citizens are being asked to pay higher taxes under this manipulated framework, without transparency, explanation, or corresponding benefits.”
He warned against celebrating increased government revenue while citizens become poorer, saying such outcomes signal governance failure rather than success.
“There is no virtue in celebrating increased government revenue while the people grow poorer. Any tax system that makes citizens poorer violates the fundamental principles of good governance and sound fiscal policy.”
Obi concluded by calling for a lawful, fair, and people-focused tax system that promotes production, rewards enterprise, protects the vulnerable, and rebuilds trust between the government and the people, arguing that only such an approach can turn taxation into a tool for unity, growth, and shared prosperity.
Follow Us on Facebook – @LadunLiadi; Instagram – @LadunLiadi; Twitter – @LadunLiadi; Youtube – @LadunLiadiTV for updates
