…says it’s ill-advised, exploitative
From Juliana Taiwo-Obalonye, Abuja
The Nigerians in Diaspora Commission (NIDCOM) has criticised a controversial proposal by Chief Dokun Olumofin, which suggests imposing a $500 tourism tax on Nigerians returning home during the popular festive season known as “Detty December.”
In a statement released by NIDCOM’s Director of Media, Public Relations, and Protocols Unit, Abdur-Rahman Balogun, the Commission described the suggestion as ill-advised and potentially exploitative.
It noted that this period, characterised by vibrant celebrations and family reunions, attracts many Nigerians living abroad who wish to reconnect with their roots.
NIDCOM stated that such a tax would be counterproductive, likely discouraging many Nigerians in the diaspora from visiting their homeland.
The commission further emphasised that imposing additional costs on returning citizens could undermine the Commission’s ongoing efforts to encourage diaspora engagement and investment in Nigeria.
It declared “This kind of advice is all shades of ‘No’”, highlighting the negative impact such a policy could have on diaspora tourism.
The statement further noted that the diaspora community has made substantial contributions to Nigeria’s economy, with remittances in 2024 reaching unprecedented levels.
It quoted reports that revealed Lagos hotels alone generated N54 billion during December 2024, a significant portion of which remains within the Nigerian economy.
The Commission questioned the rationale behind taxing Nigerians who are returning home for various reasons, including holidays and investments, especially when their financial contributions are already boosting local businesses.
NIDCOM also expressed concerns that implementing such a tax could lead to corruption and damage the government’s image. It argued that rather than introducing direct taxes, the government should focus on enhancing existing revenue streams through indirect taxes on entertainment and services utilized by visitors.
It urged the government to prioritise critical infrastructure improvements—such as security and transportation—under President Bola Tinubu’s Renewed Hope agenda to create a more welcoming environment for diaspora returnees.
In its statement, NIDCOM reiterated the importance of fostering an enabling environment that encourages Nigerians in the diaspora to return home for holidays and invest in local opportunities.
The Commission praised the Lagos State Government for its efforts to provide a world-class experience for both diaspora members and tourists, encouraging other states to adopt similar practices.
NIDCOM lamented that while many countries are lowering barriers to attract tourists and foreign investment, Olumofin’s proposal would instead raise costs and create obstacles for Nigeria. It called for policies that promote inclusivity and support economic growth rather than hinder it.
NIDCOM assured that it remained steadfast in its commitment to advocating for policies that benefit Nigerians at home and abroad, urging government officials to consider the broader implications of taxation on diaspora engagement.
In a formal letter addressed to President Tinubu, Olumofin argued that the proposed tax could generate significant revenue—potentially up to $125 million—targeting both returning Nigerians and tourists.