The Sea Empowerment and Research Centre (SEREC) has called for urgent action to address trade imbalance amid Nigeria’s revenue surge.
SEREC’s call is contained in its September bulletin, made available by its Head of Research, Eugene Nweke, on Tuesday in Abuja.
The organisation called for the streamlining of levies, strengthening of the single-window clearance system and expansion of export incentives.
It said that although Nigeria recorded its strongest fiscal performance between January and August, this had not reflected in trade.
It said that imports remained high while exports stayed low, leaving the country vulnerable to price shocks.
It noted that Nigeria consumed more than it produced and that the African Continental Free Trade Area (AfCFTA) remained under utilised for finished exports.
This is in addition to over reliance on foreign goods, which could undermine local industries and job creation.
The News Agency of Nigeria (NAN) recalls that President Bola Tinubu recently highlighted the significant growth in non-oil revenues accruing to the Federation from January to August 2025, with total collections reaching N20.59 trillion.
President Tinubu said the revenue was a 40.5 per cent increase from N14.6 trillion recorded in 2024, a performance which aligned with his administration’s projections.
SEREC noted that the N20.59 trillion had not yet translated into strengthening the foundation of Nigeria’s productive economy.
It expressed concern that Nigeria risked being a net consumer in the continental market rather than a competitive exporter.
It added that factories were shutting down or leaving Nigeria due to high costs and policy unpredictability, while manufacturing output stagnated and imports dominated.
“Debt servicing remains heavy; without industrial revival, revenues will continue to fund consumption and debt rather than wealth creation.
“Government is richer but industries poorer; without industry, debt cannot be sustainably serviced, nor jobs created,” it stated.
It further stated that a fiscal record that does not translate into cheaper food, secure jobs and accessible services risked becoming a political and social mirage.
“If N20.59 trillion cannot translate into jobs, affordable living and a stronger industrial base, then it is merely a number, not a nation-building achievement,” it stated.
According to SEREC, Nigeria is experiencing a fiscal boom but an economic bust, with revenues soaring while factories closed, inflation persisted, unemployment rose and debt lingered.
“Unless reconciled, the nation risks celebrating fiscal numbers while citizens sink deeper into hardship,” it said.
In reconciling the revenue surge to benefit Nigerians, it urged that budgeting should be tied to agency allocations with measurable outputs and a reduction in bloated recurrent expenditure.
It recommended dedicating part of the N20.59 trillion to debt reduction and capital projects, rather than consumption, while balancing tight monetary policy with fiscal stimulus in labour-intensive sectors.
SEREC also urged the government to ensure that allocations were tied to visible state-level service delivery, while strengthening anti-corruption institutions, digitising procurement and protecting industrial and agricultural zones.
It added that tax credits should be provided alongside stable FX access and infrastructure support for manufacturing and Micro, Small, and Medium Enterprises.
