In order to stimulate investment and stimulate activity in the maritime industry, in the context of a slowdown induced through COVID-19, the Federal Department of Transportation is committed to a set of tax incentives for the sector.
The Director-General of the Nigerian Maritime Security and Administration Agency (NIMASA), Dr. Bashir Jamoh, who conveyed the ministry’s position to the Honourable Minister of Finance, Hajiya Zainab Ahmed, in Abuja, reiterated the commitment of the Honourable Minister of Transport, Rt. The Honourable Rotimi Chibuike Amaechi, to ensure the expansion of Nigeria’s maritime sector, said one from NIMASA on Wednesday.
NimASA’s CEO quoted NIMASA’s executive chairman as saying that many governments around the world have carried out large tax cuts or eliminations to encourage activity in key sectors and revive their economies.
Dr Jamoh said: “The maritime sector is destined for the expansion and progression of maritime transport and, through extension, to foreign industry in the country. Therefore, the need for federally directed stimulus systems and plans to generate a reaction that catalyzes sustainable economic progression cannot be overstated.
The Director General stated that the proposed incentives included an import tariff 0 for new logo ships imported through Nigerians or Nigerian shipping companies for use in foreign or domestic trade; 0. 5 in accordance with the cent import tariff for elderly vessels of one to five years for use in foreign or domestic trade, and one consistent with the import tariff in cent for elderly vessels of five to 8 years for use in foreign or domestic trade.
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There was also a proposed import tariff 0 for portions or factors imported through Nigerian shipyards for local shipbuilding, which will be for an initial 4-year era, after which it can be reviewed through the government, all of which gives the sector the dynamism it needs. wants its growth.
DG NIMASA said incentives are being presented on the importance of Nigeria’s maritime sector for the entire sub-Saharan African region and noted that Nigeria accounts for more than 65% of the total maritime trade of the South African continent. the largest oil and fuel manufacturer and exporter and Africa’s largest economy, he said.
It should be noted that the maritime sector is a key driving force for economic expansion and development, as it facilitates industry between countries. Nigeria’s economy has grown substantially over more than two decades thanks to reforms that have stimulated personal investment in the maritime industry.
NIGERIEN’S GRANDSTAND
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