Tinubu Shames Enemies With Zero VAT, Excise Duties on Pharmaceuticals

If there is one policy of the current administration likely to bring relief to the Nigerian masses, it is the Zero VAT.

VAT stands for Value Added Tax and The Eagle reports that the Federal government has announced the commencement of a zero Value Added Tax (VAT) policy on pharmaceutical products and medical devices.

This policy which aims at reducing the prices of pharmaceutical products in the country, will have far-reaching impact on the masses, thereby silencing sharp criticisms of the government as an inept one

This is because of the comparatively high cost of accessing critical drugs in the market.

The Head of Information in the Federal Ministry of Health, Alaba. R. Balogun, noted that Zero VAT policy as contained in the Executive Order on harmonised implementation framework has been cleared to be gazetted.

It said that following the completion of the process, the Federal Inland Revenue Service (FIRS) and Nigeria Customs Service (NCS) could now begin implementing zero VAT and excise duties on pharmaceutical products and medical devices.

“The Ministry of Health and Social Welfare is pleased to announce the finalization of the Executive Order Harmonised Implementation Framework, which has now been cleared for gazetting.

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“This critical step ensures that the Federal Inland Revenue Service (FIRS) and the Nigeria Customs Service can proceed with the implementation of zero VAT and excise duties on pharmaceutical products and medical devices.”

“With the implementation of this Executive Order, we anticipate a notable reduction in the prices of essential pharmaceutical products and medical consumables. This development aligns with the Ministry’s unwavering commitment to reducing both the physical and financial pain faced by millions of Nigerians who depend on these critical health supplies” , he stated.

Nigerians have been groaning in the recent, following the skyrocketing prices of items in the market.

The Eagle coverage on the challenging economy has also shown that a lot of households were now priotising food above every other expense, drugs and pharmaceuticals inclusive, but with the latest development, it is expected that drugs would become  a little more affordable for average families.

The Zero VAT policy is expected to also impact positively on the federal government’s healthcare delivery initiatives.