The International Monetary Fund (IMF) has called on Nigeria and other African nations to step up efforts in boosting tax revenue by widening the tax net and aggressively curbing tax evasion.
Speaking at a press briefing during the ongoing IMF/World Bank Spring Meetings in Washington D.C. on Wednesday, IMF Managing Director Kristalina Georgieva stressed that fiscal reforms are essential for the continent to navigate a complex and challenging global economic environment.
“We have seen some of the fastest-growing economies in Africa in recent years. But unfortunately, low-income and fragile, conflict-affected countries are falling behind,” Georgieva said. “This is a wake-up call for the continent.”
While acknowledging that the direct impact of global trade tariffs may be minimal for most African countries, she warned that the indirect effects—especially slower global growth—pose serious risks to the region’s economic prospects. As a result, the IMF has revised downward its growth projections for the continent.
Georgieva emphasized that countries like Nigeria, Egypt, Ghana, and Côte d’Ivoire must prioritize building fiscal resilience by expanding their revenue streams.
“For oil-producing countries like Nigeria, the fall in oil prices is putting pressure on government budgets,” she noted. “But even in the face of such challenges, governments must avoid excuses and work harder to increase tax revenue.”
She urged governments to make better use of digital technologies in tracking taxable income and improving compliance, noting that countries already implementing such measures are seeing positive results.
“There is still a lot that can be done on the fiscal side. Broaden the tax base. Curb tax evasion and tax avoidance. Technology is a powerful tool to chase tax dollars and ensure compliance,” Georgieva stated.
She also urged African nations to confront the lingering perception of corruption that taints the entire continent.
“Change the image of the continent,” she charged. “When one country suffers from wrongdoing or conflict, it casts a shadow over the rest.”
The IMF’s message comes at a time when African economies are grappling with post-pandemic recovery, global economic uncertainties, and rising debt burdens, with revenue mobilization seen as a critical lever for sustainable growth.
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