The Nigeria Employers’ Consultative Association has applauded the federal government for introducing critical reforms to enhance the business environment and lower operational costs in the country.

NECA’s National President, Mr. Ifeanyi Okoye, made the remarks in his welcome address at the association’s 68th Annual General Meeting, held in Lagos on Wednesday.

Okoye identified the Nigerian Tax Act 2024, regulatory reform initiatives, and the Renewed Hope – Buy Made in Nigeria campaign as notable efforts by the federal government to strengthen the business environment.

He emphasized that multiple taxation has long been a critical challenge, undermining the competitiveness of the private sector by increasing operational costs, pushing up product prices, dampening sales, and eroding profit margins.

Okoye said, “We, therefore, commend the federal government for enacting the Nigerian Tax Act 2024.

“We particularly acknowledge the Act’s business-friendly provisions, including the phased reduction of Company Income Tax (CIT) from 30 per cent to 25 per cent, the consolidation of over 50 minor taxes, tax relief for small businesses earning below N50 million annually, and the exemption of essential commodities from Value Added Tax (VAT).”

He called on the government to ensure the full and effective implementation of the Act to achieve meaningful reductions in the cost of doing business.

The NECA President also praised the government for taking steps to tackle the multiple regulatory burdens placed on businesses by various agencies across federal, state, and local levels.

Okoye said, “These overlapping and often conflicting mandates among Ministries, Departments, and Agencies (MDAs) have led to excessive charges and hindered the ease of doing business.

“This situation adversely affects the competitiveness of locally produced goods and services.

“We, therefore, appreciate the federal government’s ongoing efforts to streamline regulatory frameworks through the Presidential Enabling Business Environment Council (PEBEC).

“We commend the leadership of PEBEC for initiating critical reforms and, in particular, for establishing the PEBEC Regulators’ Forum (PRF), which provides a platform for resolving operational and regulatory bottlenecks.

“We hope the forum prioritises the harmonisation of regulatory functions among government agencies to eliminate duplications and inefficiencies.”

He noted that the low patronage of locally made products has long impeded the growth of Nigerian businesses.

He added that this challenge has persisted despite earlier efforts to address it through Executive Orders 003 and 005, issued during the administration of the late President Muhammadu Buhari.

“We, therefore, applaud President Bola Ahmed Tinubu for approving the ‘Renewed Hope Nigeria First’ policy.

“This directive mandates all federal Ministries, Departments, and Agencies to give priority to Nigerian-made goods, services, and expertise in public procurement,” he added.