The Federal Government of Nigeria has inaugurated the National Tax Policy Implementation Committee (NTPIC), signaling a deliberate shift toward a more predictable and market-aligned rollout of the newly enacted Capital Gains Tax provisions. This move follows extensive technical engagements with key capital-market institutions, including the Securities and Exchange Commission (SEC) and the Nigerian Exchange Group (NGX Group), reflecting policymakers’ recognition of the critical role of the capital market in sustaining liquidity, price discovery, and long-term capital formation.
Chaired by leading tax and fiscal-policy expert Joseph Tegbe, the committee has been tasked with steering the implementation process toward clarity, investor protection, and policy coherence. Its mandate emphasizes the need for transparent guidelines, broad stakeholder consultation, and an execution framework that minimizes market disruption while reinforcing confidence among domestic and foreign investors. Tegbe assured that the government is committed to avoiding policies that risk disrupting market activity or business investment, stating, “Implementation of the new tax laws will be fair, transparent and humane. We will not roll out these policies in a way that cripples businesses or investors. Stakeholder engagement will be central to this process.”
The decision comes after sustained engagements by NGX Group and the SEC, during which market operators outlined the potential implications of a rapid CGT rollout on liquidity, investor sentiment, and market competitiveness at a time when Nigeria is seeking deeper pools of domestic and foreign capital. Temi Popoola, Group Managing Director of NGX Group, commended the government’s approach, noting that the group, in collaboration with the SEC, has consistently advocated for a data-driven approach that balances fiscal objectives with the need to preserve market depth. Popoola emphasized, “We support the modernisation of Nigeria’s tax system, but reforms of this scale must be carefully calibrated to protect liquidity, sustain participation, and maintain competitiveness. Our engagements with government have focused on ensuring that implementation supports the capital market’s role in long-term investment and economic growth.”
Popoola further highlighted that global competitiveness depends not only on policy intent but also on the precision of execution, particularly for emerging markets seeking cross-border flows. The government’s consultations intensified after the visit of Honourable Minister of Finance and Coordinating Minister of the Economy, Wale Edun, to NGX Group, where market operators presented the potential unintended consequences of an abrupt CGT rollout.
Analysts view the inauguration of the NTPIC as a constructive signal to investors, demonstrating that authorities intend to anchor fiscal reforms in evidence and consultation rather than speed alone. Both SEC and NGX Group have pledged continued collaboration with the committee to ensure that the eventual CGT implementation fosters investor confidence, broadens participation, and aligns with long-term capital-market development objectives.
This unified and measured approach underscores the government’s commitment to modernizing Nigeria’s tax system while safeguarding the stability and growth of the capital market, reinforcing the nation’s position as an attractive destination for domestic and foreign investment.
