TAX: APC Knocks Alex Otti as NBS Data Ranks Abia Last in VAT Collection for First Half of 2026
- The NBS report on VAT collections for January to June 2026 placed Abia State 37th out of 37, including the FCT
- APC Abia State Chapter challenged the Otti administration to name one major factory or industry it commissioned since 2023
- The opposition party said rising living costs and weak consumer spending exposed the failure behind the government's economic claims
The All Progressives Congress (APC) in Abia State has issued a sharp rebuke of Governor Alex Otti's administration after a National Bureau of Statistics (NBS) report on Value Added Tax (VAT) collections for the first half of 2026 placed Abia at the bottom of all 36 states and the Federal Capital Territory combined.
Source: Twitter
In a press statement signed by the party's Publicity Secretary, Uche Aguoru made available to Legit.ng on Monday, July 20, the APC described the 37th-place ranking as proof that the government's much-publicised economic transformation agenda is more performance than substance.
Abia's VAT Ranking Under Scrutiny
VAT is collected incrementally across every stage of the supply chain and is widely regarded as a reliable barometer of commercial activity and consumer spending within a state.
The APC argued that a government actively promoting an investor-friendly environment and a so-called "New Abia" narrative could not credibly justify occupying last place on this particular index.
the statement read:
"Economic transformation cannot be measured by social media trends or sponsored skits.
"It must be reflected in measurable outcomes higher production, stronger consumer spending, thriving businesses, expanding industries, and increased taxable economic activities."
The party also took direct aim at the governor's pre-election pledges, noting that Otti had promised a wave of investor interest if elected in 2023.
It challenged his administration to identify a single factory or industry, capable of employing at least 100 Abians, that has been established or commissioned under his watch.
Government Contracts and Economic Leakage
Beyond investment figures, the APC raised concerns about the state government's contracting practices, alleging that major public contracts had been awarded to companies based outside Abia.
The party said this approach effectively transferred employment opportunities, spending power, and taxable commercial activity to other states, further undermining Abia's VAT performance.
The statement also questioned the real impact of the government's widely promoted 24-hour power initiative, arguing that if the scheme were genuine, it should have stimulated measurable gains in industrial output and business activity by now.
Source: Getty Images
While the APC acknowledged President Bola Tinubu's fiscal reforms for boosting federal allocations to states, it stressed that increased transfers from Abuja do not constitute economic development and should not be mistaken for internally generated growth.
The party called on the Otti administration to prioritise productive investment over media management, and to focus on creating factories, jobs, and industries that generate real economic value for residents of the state.
Read also
Breaking: Fresh details emerge as Tinubu is asked to step aside from 2027 presidential race
New 7.5% VAT on bank charges kicks in
Earlier, Legit.ng reported that the 7.5% Value Added Tax now applies to charges tied to electronic banking, including mobile app transfers and USSD sessions. This is not a brand-new tax rate.
Nigeria’s VAT has been 7.5 per cent since 2020. What has shifted is enforcement and clarity around how VAT is added to digital banking fees.
In simple terms, the money you send is not taxed. The small fee your bank or telecom operator charges for the service is what attracts VAT.
Source: Legit.ng
