The Tinubu administration’s $750 million World Bank loan agreement under the ARMOR program required Nigeria to introduce new taxes on transfers, vehicles, betting, and telecoms — measures already rolling out across the country.
The Tinubu administration’s $750 million loan agreement with the World Bank came bundled with a series of new taxes now hitting Nigerians’ pockets, according to a SaharaReporters investigation.
The loan, approved by the World Bank on June 14, 2024, and finalized five days later under the Accelerating Resource Mobilisation Reforms (ARMOR) Program-for-Results, has already seen $280.551 million disbursed to Nigeria. Program documents show $343 million is expected to be released by the end of 2026, with the full $750 million disbursed by 2028.
A key component of the deal required Nigeria to boost tax revenue through new levies — including higher taxes on tobacco and alcohol, taxes on online betting and gambling, excise duties on telecom services, green taxes on vehicles and single-use plastics, and an electronic money transfer levy.
The rollout followed swiftly. Just three months after the agreement was signed, fintech platform OPay introduced a N50 fee on electronic transfers of N10,000 and above starting September 9, 2024, describing it as a Federal Inland Revenue Service requirement rather than a company charge.
Banks followed suit, applying a similar N50 stamp duty — the electronic money transfer levy (EMTL) — on transfers from January 1, 2026, under the new Tax Act.
In April 2026, the government also rolled out a green tax surcharge on vehicles as part of its 2026 fiscal policy measures, effective July 1. Reuters reported the levy applies at 2% for vehicles between 2,000cc and 3,999cc, and 4% for engines above 4,000cc, alongside revised import tariffs and the adoption of the ECOWAS common external tariff.
The Tinubu administration has defended its tax policies as necessary for national development, even as they continue to draw public criticism.
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