Abuja — President Bola Ahmed Tinubu, yesterday, called for a review of the global taxation system to redress imbalance in the international tax regime.
Tinubu, who spoke at the opening of Third South Summit of the Group of 77 and China, in Kampala, Uganda, reaffirmed his commitment to multilateralism as a way of addressing global challenges.
The president was represented at the event by Minister of Budget and Economic Planning, Senator Atiku Bagudu, according to a statement by Director, Information, Ministry of Budget and Economic Planning, Mrs. Folasade Boriowo.
Stating that the issue of global taxation was crucial because of its impact on developing countries, Tinubu said current international tax systems, largely shaped by the interests of more affluent nations, often left developing countries at a disadvantage, especially in taxing digital economies.
The statement quoted Tinubu as saying that the systemic imbalance had led to significant revenue losses, hampering efforts towards sustainable development and economic self-reliance.
Consequently, he said Nigeria, alongside other member states of the African Group, championed a historic initiative at the United Nations calling for a framework convention on tax.
The resolution, according to the president, marked a pivotal step towards establishing a more equitable and inclusive global tax system.
With the theme, “Leaving No One Behind,” the summit was attended by several Heads of State and Government as well as heads of international organisations, including United Nations Secretary-General Antonio Guterres.
Expressing Nigeria’s appreciation to all the countries that supported the global tax review initiative, Tinubu said their solidarity reflected “our shared commitment to rectifying the inequities of the current tax system and fostering a more just economic order”.
He reaffirmed the country’s commitment to South-South economic collaboration, emphasising the critical role of the Action Committee on Raw Materials (ACRM) of the G-77, established in 1987, for enhancing cooperation in the development and processing of raw materials.
While acknowledging the importance of comprehensive data on raw material availability and location, the president advocated the revival of the ACRM.
He said, “This is crucial for coordinated information dissemination, facilitating access for international entrepreneurs and joint venture partners and addressing challenges in raw material development that hinder industrialisation and economic growth.”
Tinubu said the resuscitation of ACRM, with a focus on data-driven strategies and information systems, was imperative to improving trade terms, fostering economic self-reliance, and enhancing resilience among developing countries.
On the 75th anniversary of the UN, Tinubu spoke of the G77’s enduring commitment to fostering a world where no one was left behind – where every individual had an equal opportunity to thrive. He said this year’s summit and theme resonated with the aspirations and principles of G77.
According to the president, “It seeks our collective commitment to building an influential force that champions international peace and security; protects the rights and dignity of our citizens; and fosters cooperation in the spirit of South-South collaboration.
“Considering the interconnected nature of our world, we need a concerted action to tackle issues of climate change, eco-disparities, environmental concerns and technological programmes in this post-pandemic era.
“Similarly, emerging global challenges, such as the digital divide, cyber security, illicit financial flows, terrorism and corruption, are interconnected threats that undermine our socio-economic stability and require a united approach by this assembly.”
Tinubu added, “With illicit financial flows alone estimated to siphon off billions of dollars annually from economies, especially in the Global South, the urgency for early action has never been greater.
“We advocate enhanced international cooperation, stronger regulatory frameworks and a robust collaborative approach.
“By uniting our efforts and sharing best practices, we can promote transparency, accountability and a more secure, prosperous future for all G77 and China member states.”