The Nigeria Employers’ Consultative Association (NECA) has rejected the high levies imposed by the Fiscal Responsibility Commission (FRC) on private firms, describing them as “excessive” and “ill-timed”. In a statement, NECA’s Director-General, Mr. Wale Oyerinde, argued that the increased levies would further burden private sector operators, who are already grappling with the challenges of doing business in Nigeria. He emphasized that the levies would hinder the ability of private firms to operate effectively, invest, and create jobs. NECA urged the FRC to review the levies, citing the need to promote a favorable business environment that encourages investment and job creation. The association also emphasized the importance of consulting with stakeholders before introducing new levies or policies. The FRC had recently announced the introduction of new levies on private sector firms, citing the need to boost revenue generation. However, NECA’s rejection of the levies highlights the concerns of private sector operators, who feel that the increased financial burden will have far-reaching consequences. The levies, which range from 1% to 5% of companies’ annual profits, are expected to generate significant revenue for the government. However, NECA argues that the levies will ultimately harm the economy by reducing the competitiveness of Nigerian businesses and discouraging foreign investment. As the debate over the FRC levies continues, it remains to be seen whether the government will heed NECA’s call for a review. One thing is certain, however: private sector operators will be watching closely to see how the situation unfolds.
