BREAKING AND BREAKDOWN:
Federal government has reduced import levy on new vehicles ๐ into Nigeria ๐ณ๐ฌ from 20% to 10% and that of used vehicles from 15% to 5% in order to ease cost of vehicle importation.
The reduction takes effect today.
Now Learn - The Breakdown;
Beyond the obvious of you and me finally able to own a new or tokunbo car as this will crash price of imported vehicles, the benefits extends far beyond...
1. Lower transport fares (over time):
Commercial drivers, especially Danfo and Cab owners usually factor in the cost of wear and tear in their fares. If my car breaks, what does it cost to replace it?
With cheaper cars, commercial drivers can replace aging vehicles more easily and there will be noticeable crash in the prices of their spare parts too, reducing maintenance cost.
If Nigerians choose to be less Nigerian, that should considerably impact transport fare.
2. Reduced cost of doing business:
Many SMES depend on delivery vans, pick-up trucks or even school buses. If they can acquire them more cheaply, logistics costs will also reduce and that leads to overall ease in business activity.
3. Job creation: Some schools should have more than 1 bus but they can't due to cost. Now they can easily acquire more with the expected crash in the price of vehicles and that means fresh vacancies for drivers and conductors. More private individuals with no car at all can now buy. With more vehicles plying our road mean higher demand for mechanics, panel beaters, auto-electricians etc.
4. Lower Inflationary Pressure:
Since transportation costs affect the prices of food and other goods, cheaper vehicle acquisition could, over time, help ease inflation if transport costs decline.
5. Boost for agriculture:
Our Farmers and agro-processors benefit too for they may now acquire pickups and light trucks more affordably, reducing the cost of moving produce from farms to markets.
6. Higher government revenue:
Ironically, lower tarrifs will not necessarily lead to low revenue for the government. I predict huge rise in import volumes and this will significantly offset the revenue loss from lower tariffs. And with more vehicles come a rise in need for licensing and who gets the payment from vehicle papers?
This policy can not be more timely.
Congratulations Nigerians - Asiwaju still fixing our challenges one layer at a time.
@TheoAbuAgada Who else noticed that @TheoAbuAgada was avoiding the selling of Peter obi? Instead, d, only name he sold in his statement was his party NDC, even him, sef know, say PO nor reach
@Mautiin01 Every day, this VDM shows how naive he can be, but I dont blame him. If he doesn't show this extent of stupidity, how can he be cashing out from his gullible followers
Some cabals are afraid of PBAT's re-election and they are desperate.
If a man who is facing re-election can damn the consequences of politics unlike his predecessors to remove subsidy, break the BDC black market racketeering, NNPC 100% remittance to FAAC ( these 3 items were the biggest heist against the Nigerian economy and its citizens )
He is pushing to disrupt the politics at the local level with LG Autonomy that will empower LG and stop them from being stooges of governors.
States Police, a decentralised security architecture with the establishment of Police Academies and Army Depots in different regions.
Tax reform and internal sharing of VAT to favour Derivation. Wealth should be distributed to align more with where it is derived.
Creation of other regional development commissions.
No President has been bold enough to tackle these issues since 1999.
"What will he do when he is not facing re-election" ?
@Big_marvis The truth about those people is not about honesty it's just more like hypocrisy, these people know the truth they know thier messiah cannot do better than tinubu but because of thier selfishness they always like painting the bad picture abt PBAT
Chairing INEC is one of the most uncomfortable jobs in the Country.Whoever found himself on that Seat will have to receive missiles from the beginning to the end.From Fedeco,NEC to INEC,the story is thesame.Though forgotten,Prof Maurice Iwu received more insults than any INEC chair in our history.When Jega declared GEJ the winner in 2011,he was declared an enemy and a Satan in the North:When he declared Buhari the winner in 2015,everyone in our region sang his https://t.co/iuIWDBYKkj Mahmud is now resting,Amupitan is now the punchbag.The only person in our country who has ever agreed he lost election was GEJ.Our politics is that of you either win or you fight.That is what we are.Appoint an Angel as INEC Chair,he can only be safe in the hands of those who won.