'Seun Ibukun-Oni, Abuja
Tayo Busayo, Abuja
DAILY COURIER - Nigeria’s economic outlook has received a significant boost as the Nigeria Customs Service (NCS) and increased crude oil output have contributed to bolstered national revenue streams.
On November 12, 2024, the NCS reported an impressive N5.7 trillion in revenue collection, surpassing its target by 10%. Meanwhile, the country’s crude oil production also showed a notable rise in October, solidifying Nigeria’s position as Africa’s top oil producer.
Customs revenue collection surpasses 2024 target
At the 2024 Comptroller-General of Customs Conference held in Abuja, Comptroller-General Adewale Adeniyi revealed that the NCS had exceeded its annual target through strategic reforms and enhanced partnerships. Speaking on the theme, “Nigeria Customs Service: Engaging Traditional and New Partners with Purpose,” Adeniyi emphasized the transformative measures the agency implemented to achieve this record-breaking collection.
According to Adeniyi, the N5.7 trillion collection was driven by a comprehensive reform agenda that included modernizing processes, enhancing ICT infrastructure, improving cargo inspection, and automating operations. “Our commitment to a partnership-driven approach in revenue collection and trade facilitation has yielded outstanding results,” he stated.
As part of these efforts, the NCS launched an advance ruling program to expedite customs decisions for import and export cargoes. Additionally, the Authorised Economic Operators (AEO) program has allowed select businesses to benefit from expedited customs processes, further contributing to trade efficiency.
Rising crude oil output bolsters energy revenue
Nigeria’s crude oil production, another crucial revenue source, also recorded an uptick in October. According to the Organisation of Petroleum Exporting Countries (OPEC), Nigeria’s average daily production increased to 1.33 million barrels per day (bpd) in October 2024. This marks a slight rise from the 1.32 million bpd recorded in September, driven by intensified production efforts.
Secondary sources reported an even higher production level of 1.43 million bpd, marking a 2.88% month-on-month increase. With this surge, Nigeria has retained its status as Africa’s largest oil producer, outpacing Algeria, which produced 909,000 bpd, and Congo, which produced 265,000 bpd.
Economic impact and future prospects
These combined revenue streams are set to strengthen Nigeria’s fiscal stability, providing additional resources for public services and infrastructure. The NCS’s impressive performance highlights the value of reforms and efficient revenue collection methods, while increased crude production will help stabilize Nigeria’s foreign exchange earnings amid fluctuating oil prices.
With NCS’s ongoing reforms and steady crude output, the outlook for Nigeria’s revenue generation remains positive, underscoring the effectiveness of strategic management and international cooperation in enhancing the nation's financial health.
