Bill Gates, co-chair of the Bill and Melinda Gates Foundation, has highlighted Nigeria’s low tax collection as a significant challenge to financing large-scale public health initiatives. Speaking at the Nutrivision 2024 event, a Pan-African youth dialogue on nutrition held in Abuja, Gates emphasized that Nigeria’s tax-to-GDP ratio remains among the lowest in the world.
Gates pointed out that the mutual distrust between the government and citizens contributes to the low tax collection. He stated, “Nigeria’s tax-to-GDP ratio stands at just 10.86%, much lower than even the regional average of 15.6%.” This situation limits the country’s ability to adequately fund crucial sectors like health and education.
He added, “Over time, there are plans for Nigeria to fund the government more than it does today. The actual tax collection in Nigeria is actually pretty low.”
Gates also expressed that if citizens want better education and health services, they need to develop confidence in how these programs are managed. “Our foundation is involved with many exemplars that show how money can be spent effectively, running an efficient primary healthcare system,” he noted.
Bill Gates revealed that Nigeria receives the most intervention funds from the foundation in Africa, owing to its large population and significant needs. He reaffirmed that future spending would continue to focus on primary healthcare, given its high impact per dollar spent.
Moreover, Gates shared his optimism about Nigeria’s potential to boost its agricultural output, transforming it from a net food importer to a leading exporter. He emphasized that with proper support, including better access to credit, comprehensive soil assessments, and effective advisory services for farmers, Nigeria could more than double its food production.
“Instead of having to use very scarce dollars, particularly at the current exchange rate, to buy food, you could actually become a major food exporter,” Gates concluded, highlighting the potential for a brighter economic future if the right reforms are enacted.
Madukwe B. Nwabuisi is an accomplished journalist renown for his fearless reporting style and extensive expertise in the field. He is an investigative journalist, who has established himself as a kamikaze reporter.
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