It is estimated that Nigeria loses about $18 billion annually due to profit-shifting
Nigeria is losing an estimated $18 billion every year to profit-shifting, aggressive tax avoidance, and other illicit practices by multinational corporations, the Minister of State for Finance, Dr Doris Uzoka-Anite, disclosed at a national conference on Illicit Financial Flows.
Describing the situation as a “hydra-headed monster,” she warned:
“Huge sums of money are transferred out of this country, and this robs the country of resources that could be used to finance much-needed public services.”
Under President Tinubu’s administration, strategic fiscal reforms are being implemented to shift Nigeria’s revenue base away from oil dependency toward increased tax revenue. FIRS Chairman Zacch Adedeji stressed that multinationals exploit global arrangements to shift profits abroad, weakening fiscal stability. Dr Samson Abanni, an SPPG alumnus, likened the tax bills to “heart surgery on the nation’s economy,” warning they reshape fiscal autonomy quietly but profoundly.
Experts insist Nigeria must strengthen policy enforcement, global collaboration, and institutional capacity to stem illicit financial outflows.