Abuja, Nigeria – Nigeria’s agricultural sector led an impressive surge in Company Income Tax (CIT) collections in the second quarter of 2024, recording a remarkable 474.50% increase on a quarter-on-quarter basis, according to a report released by the National Bureau of Statistics (NBS) on Monday.
The report revealed that overall CIT revenue for Q2 2024 amounted to N2.47 trillion, marking a significant 150.83% growth from the N984.61 billion collected in the first quarter of the year. Local payments contributed N1.35 trillion, while foreign CIT payments accounted for N1.12 trillion during the same period.
“Agriculture, forestry, and fishing recorded the highest growth rate at 474.50%, showcasing the sector’s increasing contribution to the national economy,” the NBS report highlighted. This growth reflects the rising importance of agriculture in Nigeria’s economic recovery efforts.
Following agriculture, the financial and insurance activities sector also posted impressive growth, expanding by 429.76%, while the manufacturing sector saw a 414.15% increase.
Despite these strong performances, some sectors struggled in Q2 2024. The report noted that “activities of households as employers, undifferentiated goods- and services-producing activities for household use saw the lowest growth rate at -30.22%, followed by extraterritorial organisations and bodies at -15.67%.”
In terms of contributions to total CIT revenue, the financial and insurance sector led with a 15.53% share, followed by manufacturing at 8.99%, and information and communication at 7.84%. On the other end of the spectrum, the activities of households as employers contributed 0.00%, while water supply, sewerage, and waste management accounted for 0.02%, and extraterritorial organisations added 0.03%.
Year-on-year, CIT collections for Q2 2024 showed a 59.52% increase from N1.55 trillion recorded in Q2 2023, underscoring broader economic recovery across key sectors of the Nigerian economy.
The report highlights the growing influence of Nigeria’s agricultural and financial sectors, while also drawing attention to areas in need of reform to ensure more balanced economic development.