ENUGU, Nigeria (VOICE OF NAIJA)– The Chairman of the Enugu State Internal Revenue Service (ENSIRS), Mr. Emmanuel Nnamani, says Enugu State recorded a total of N406.77 billion in Internally Generated Revenue (IGR) in 2025, representing an 80 per cent performance of its budget projection and a 125 per cent increase over the N180.5 billion realised in 2024.
He disclosed this on Sunday while addressing a press conference at the Service’s head office in Enugu.
Nnamani said the revenue was generated out of the N509.95 billion projected in the 2025 Appropriation Law, describing the outcome as a clear indication that the state has attained fiscal resilience and sustainability.
“This performance shows that Enugu State has developed the capacity to fund governance sustainably and reduce its reliance on Federation Account allocations,” he said.
Tracing the revenue growth trajectory, Nnamani recalled that Enugu State’s total IGR in 2022 stood at N26.8 billion, made up of N16.2 billion in tax revenue and N10.6 billion in non-tax revenue.
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He said the transformation began in earnest following the assumption of office of Governor Peter Ndubuisi Mbah in May 2023, who mandated a complete overhaul of the state’s revenue architecture to support his administration’s development agenda.
According to him, after his appointment as ENSIRS chairman in August 2023, the governor directed the Service to significantly ramp up IGR, reduce dependence on FAAC receipts, and explore non-tax revenue sources.
“He gave us a clear mandate to generate enough revenue internally to fund salaries, pensions and overheads, and directed the Accountant-General to prioritise IGR for these obligations,” Nnamani said.
As a result, the state’s IGR rose to N37.4 billion in 2023, comprising N22.9 billion in tax revenue and N14.5 billion in non-tax revenue.
He noted also that in 2024, revenue climbed sharply to N180.5 billion, driven by N150 billion in non-tax revenue and N30 billion in tax revenue, marking a decisive shift away from tax-dependent funding to asset-based revenue generation.
“At that point, Enugu State had started thinking differently. Dependence on FAAC for routine government activities had drastically reduced,” he said.
Providing a breakdown of the 2025 figures, Nnamani said tax revenue contributed N51.5 billion, representing 12.6 per cent of total IGR, while non-tax revenue stood at N355.2 billion, accounting for 87.4 per cent.
He explained further that the bulk of the non-tax income came from the recovery, revitalisation and optimisation of state assets, many of which had remained moribund for years.
“Most of our non-tax revenue is driven by asset recovery and optimisation. These are assets that were previously fallow but are now contributing meaningfully to the state’s revenue base,” he said.
Despite the dominance of non-tax revenue, Nnamani noted that tax income recorded significant growth, rising from N30 billion in 2024 to N51.5 billion in 2025, a 72 per cent year-on-year increase, compared to 31 per cent growth recorded in 2024.
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“This shows resilience in our tax system. Tax revenue remains the most sustainable source of funding for any government, which is why we have intensified efforts to grow it in line with the law,” he said.
He attributed the improved performance to efforts to plug revenue leakages, deploy technology-driven systems, and strengthen transparency, accountability and traceability across all revenue streams, including taxes, levies, fees and assets.
Looking ahead, Nnamani disclosed that Enugu State has projected an IGR of N870 billion in 2026, noting that tax revenue may moderate as the state implements pro-citizen tax reforms.
However, he expressed optimism that compliance would continue to improve.
“We are confident that we will outperform expectations because compliance with tax laws has increased. People are encouraged to pay taxes when they see tangible development,” he said.
He cited visible projects across the state, including 260 Smart Green Schools, 260 Type 2 Primary Healthcare Centres, the Enugu International Conference Centre, a five-star hotel, Enugu International Hospital, Enugu Air, five modern bus terminals, 100 CNG buses, and over 2,000 completed and ongoing projects.
Nnamani thanked the people of Enugu State for their continued support of the Mbah administration and assured that ENSIRS would remain committed to accountability and transparency.
“We will continue to execute our mandate with transparency and traceability in the interest of Ndi Enugu,” he said.