VAT Collections Rise 10.6% To ₦2.28 Trillion — NBS
By OBIOMA TORI
NIGERIA’S value-added tax (VAT) revenue rose significantly in the third quarter of 2025, reaching ₦2.28 trillion, according to the latest report released by the National Bureau of Statistics (NBS).
The report showed that the figure represents a 10.66 per cent increase compared with the ₦2.06 trillion generated in the second quarter of the year. On a year-on-year basis, VAT revenue grew even more sharply, rising 28.10 per cent from ₦1.78 trillion recorded in the third quarter of 2024.
A breakdown of the figures revealed that local VAT payments accounted for the largest share, contributing ₦1.12 trillion to the total revenue. Foreign VAT payments followed with ₦680.23 billion, while VAT from imports generated ₦479.79 billion during the period under review.
The report also highlighted strong growth across several sectors of the economy. Administrative and support service activities recorded the highest quarter-on-quarter growth rate at 89.28 per cent. This was followed by the arts, entertainment and recreation sector, which grew by 82.49 per cent, while human health and social work activities recorded 32.40 per cent growth.
However, some sectors experienced significant declines. Real estate activities recorded the lowest growth rate at –51.33 per cent, while household-related activities fell by –36.22 per cent. Other service activities also declined, dropping by –20.30 per cent during the quarter.
In terms of sectoral contributions to total VAT revenue, the manufacturing sector led with 25.89 per cent, followed by information and communication at 18.77 per cent, while mining and quarrying accounted for 14.85 per cent.
The latest data underscores the continued importance of VAT as a major non-oil revenue source for Nigeria amid ongoing efforts to strengthen fiscal sustainability.
