• Tuesday, March 05, 2024
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BusinessDay

Tinubu seeks review of global tax system

Tinubu’s visit to Ondo: Akinterinwa raises alarm over attack on supporters

President Bola Tinubu has advocated a review of global taxation to address the imbalance in the international tax regime.

The president also affirmed the country’s belief in and commitment to multilateralism as a way of addressing global challenges.

The president stated this while declaring Njgeria’s position at the ongoing Third South Summit of the Group of 77 and China which opened on Sunday in Kampala, Uganda.

The president, represented by Atiku Bagudu, minister of Budget and Economic Planning, said the issue of global taxation is pressing because of its impacts on developing countries.

“The current international tax systems, largely shaped by the interests of more affluent nations, often leave developing countries at a disadvantage, especially in taxing digital economies. This systemic imbalance has led to significant revenue losses, hampering our efforts towards sustainable development and economic self-reliance.”

He stated that Nigeria, alongside other member states of the African Group has championed a historic initiative at the United Nations calling for a Framework Convention on Tax.

This resolution, according to him, marks a pivotal step towards establishing a more equitable and inclusive global tax system.

Expressing Nigeria’s appreciation to all the countries that supported the global tax review initiative, President Tinubu said their solidarity reflects “Our shared commitment to rectifying the inequities of the current tax system and fostering a more just economic order.”

Also, in reaffirming Nigeria’s commitment to South-South economic collaboration, the president spoke of the critical role of the Action Committee on Raw Materials (ACRM) of the G-77, established in 1987 for enhancing cooperation in the development and processing of raw materials.

While acknowledging the importance of comprehensive data on raw material availability and location, President Tinubu advocated the revival of the ACRM.

“This is crucial for coordinated information dissemination, facilitating access for international entrepreneurs and joint venture partners and addressing challenges in raw material development that hinder industrialisation and economic growth,” he said.

The resuscitation of the ACRM, with a focus on data-driven strategies and information systems, is imperative to improving trade terms, fostering economic self-reliance, and enhancing resilience among developing countries, he pointed out.

Tinubu also restated at the summit, Nigeria’s earlier position on Israel’s attack on Palestine over Gaza, saying the recent developments in the State of Palestine demand our immediate attention and action.

“Nigeria aligns itself with the international community’s call for an immediate ceasefire and a peaceful resolution to the conflict.

“Upholding our commitment to the principles of sovereignty, territorial integrity and the promotion of peace and security, we firmly support a two-state solution as the path forward in this protracted conflict,” he said.

The president spoke against any form of indiscriminate violence, emphasising the urgent need to address humanitarian concerns, and ensuring the protection and dignity of all civilians affected by this crisis.

“As a member of this group, Nigeria remains dedicated to advocating peaceful solutions in global conflict zones, reflecting our commitment to the stability and prosperity of the African continent and the global community.”

Drawing the attention of the summit to the 75th anniversary of the United Nations, the Nigerian leader spoke of Group of 77’s enduring commitment to fostering a world where no one is left behind – where every individual has an equal opportunity to thrive.

This year’s summit and its theme resonate with the aspirations and principles of G77.

“It seeks our collective commitment to building an influential force that champions international peace and security; protects the rights and dignity of our citizens; and fosters cooperation in the spirit of South-South collaboration,” the president said.