Adedapo Adesanya
By Adedapo Adesanya
Nigeria has suspended the implementation of the recently introduced Expatriate Employment Levy (EEL) which planned to impose additional tax on foreign workers employed in the country by companies.
The suspension of the controversial policy was disclosed in a statement signed by the National President of the Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture (NACCIMA), Mr Dele Oye, on Friday.
Mr Oye said the resolution was taken following a successful Trade and Investment outreach led by President Bola Tinubu in Qatar and a productive meeting with the Minister of Industry, Trade and Investment, Mrs Doris Aniete, and the Minister of Interior, Mr Olubunmi Tunji-Ojo.
The meeting was also attended by the President of the Petroleum Technology Association, the President of the Special Economic Zones Association, the Director General of the Nigerian Turkiye Business Council, the European Union Trade delegation head, the NACCIMA Chair of Digital Trade Group, and the representatives of the National Association of Small and Medium Scale Enterprises.
“The Nigerian Association of Chambers of Commerce, Industry, Mines, and Agriculture, in collaboration with key stakeholders, announces a temporary step down of the recently enacted Expatriate Employment Levy by the Federal Ministry of Interior, as administered by the Nigerian Immigration Service,” a part of the statement read.
Last Tuesday, President Tinubu launched the Expatriate Employment Levy but it was met with many criticisms, especially from private sector groups. The scheme imposed a fee of $10,000 on each of expats and $15,000 on directors.
Among the issues raised was that the levy will impact the much-needed Foreign Direct Investment (FDIs) needed in the country’s struggling economy.
Now, the NACCIMA president said the policy reversal would allow for further consultations with his organisation and other vital stakeholders, adding that a review committee would be constituted.
“It was unanimously agreed that the implementation of the Expatriate Employment Levy will be paused, allowing for further consultations with NACCIMA and other vital stakeholders.
“A joint committee comprising members of the Ministry of Industry, Trade and Investment, the Ministry of Interior, NACCIMA, and other stakeholders will be formed to review the EEL policy.
“The rollout of the EEL, as initially proposed, will be deferred in accordance with the resolutions made,” he added.
Mr Oye thanked the federal government, the Ministry of Industry, Trade and Investment, and the Ministry of Interior for considering the implications of the EEL on the business community.
“This is indicative of their commitment to creating an inviting atmosphere for both local and international investors.
“NACCIMA and its partners remain dedicated to working hand in hand with the government to ensure that policies align with the nation’s economic objectives, aiming to position Nigeria as a prime destination for investments,” he stated.
The NACCIMA president further advised investors, both current and prospective, to continue with their business activities and investment plans in Nigeria with confidence, noting that the government is ready to enhance the investment landscape and support economic growth.
“We advise all investors, both current and prospective, to continue with their business activities and investment plans in Nigeria with confidence.
“The assurances provided by both ministers during the negotiations have reinforced the Federal Government of Nigeria’s intent to enhance the investment landscape and support economic growth.
“We thank all stakeholders for their engagement and patience during this period,” the statement read in part.
