Connect with us
nairametrics
UBA ads

FEATURED

How To Calculate Vat Remittances In Nigeria

Published

on

How to avoid taxes in Nigeria - Tax remittances

Value Added Tax is an indirect form of taxation that is based on the consumption pattern of individuals and companies. In Nigeria VAT is a 5% charge on all goods and services except for those exempted. Organisations are by law expected to remit VAT charged to invoices on behalf of the Federal Inland Revenue Service. However, in remitting the taxes to the FIRS, organisations are also expected to deduct certain Vat expense (called Input) Vat that they also incur.

How to deduct

UBA ADS

Companies typically include a 5% Vat on a invoices for services rendered or for sale of goods. For example, if you buy a Television set from Mega Plaza for N100,000, that amount will include a Vat of N4,761.90. That is N100,000/1.05=N95,238.10. N100,000 less N95,238.10= N4,761.90. But surely Mega Plaza is not in the business of Manufacturing TV’s since they are mainly a retail outlet. This means Mega Plaza must have purchased the TV at a lower price before adding their Mark Up and Vat to arrive at the selling price of N100,000. Supposing that the TV cost Mega Plaza N85,000 inclusive of Vat of 5%? Therefore Mega Plaza paid a sum of N3,809.52 in Vat.

Based on the above, we can now calculate how much Mega Plaza is to remit to the Federal Inland Revenue Service.

Vat Output (Vat included in invoices paid by customers) –  N4,761.90

GTBank 728 x 90

Vat Input (Vat included in invoices paid to suppliers)     –   N3,809.52

Vat Remittable to the FIRS                                                       –              N952.38

Note:

onebank728 x 90

Basically, the Law only includes in the VAT input tax on goods purchased or imported directly for resale and goods which form the stock in trade used for the direct production of any new product on which the output tax is charged. It therefore does not include input vat on any overhead, services, admin and general expenses pf any business. The belief is that these expenses will be deducted before arriving at taxable profits. 

What does this mean?

Not all items can be classified as Vat Inputs. For example, apart from paying 5% Vat on the TV set purchased for resale, Mega Plaza may also have incurred marketing cost & advertising before the TV set is sold. Lets assume they spent N1,000 in marketing cost to sell the TV for N100,000. The N1,000 marketing cost includes a 5% Vat which is N47.62. This amount cannot be offset against the Vat Output above of N4,761.90. This extends to Vat paid to lawyers, consultants, furniture and fittings, bank charges etc. What you therefore need to include as Input Vat are items that are directly related to the item or service that you are selling.

app
GTBank 728 x 90

Another Example

A retaurant and bar incurred vat on the following expenses

Furniture & Fittings in the bar – N100,000

devland

Vat on light and telephone bills – N20,000

Vat paid on purchase of alcoholic drinks – N35,000

app

Vat on paid on Kitchen Materials such as knives and forks – N30,000

Vat paid on Rent – N75,000

Vat paid on Bank Charges – N20,000

Vat Output

Total Vat on Sale of Drinks and Food – N250,000

Amount to remit

Vat Output     –                               N250,000

Less,

Vat Paid on Alcoholic Drinks   – N35,000

Vat Paid on Kitchen Materials  – N30,000

Total Vat Input                             – N65,000

Total Vat Payable   (250k-65k) – 185,000

 

Patricia

Ugo Obi-chukwu "Ugodre" is a chartered accountant with over 16 years experience in financial management, corporate finance and financial analysis. He is also a retail investor and a personal finance advocate with over a decade experience investing in the Nigerian stock market. Ugo is the founder/Publisher of Nairametrics and blogs regularly on the website.

48 Comments

48 Comments

  1. Anonymous

    October 5, 2012 at 5:06 am

    pls am service provider a technician refrigeration and air conditioning, how do i calculate VAT on the services i render.

    • John

      November 5, 2013 at 4:45 pm

      When services are rendered simply add 5 percent to the service charge for vat. Ensure your salesinvoice reflects this.

  2. Shelze

    November 24, 2012 at 5:26 am

    Nice article Ugo. The treatment of VAT on kitchen materials can be argued to be non-claimable as kitchen items as forks, knifes etc may form part of the ASSETS of the business and not as part of a sale. VAT on Disposable cutlery and packs however might be classified as claimable. What are your thoughts?

    • ugodre

      November 25, 2012 at 7:59 pm

      Debatable…but you’d have to follow the FIRS guidelines of list of items that are votable. Anything aside from that is not

  3. tommy

    April 26, 2014 at 6:17 am

    i am a service provider and in my quest for knowledge on how to file VAT returns, I stumbled on your site, helpful hints.. . .now I know VAT is calculated on service charge only.

    What about personal tax?

    Pls send further help, if any.

    Thank you.

  4. Gee

    April 30, 2014 at 11:49 am

    Your calculation of VAT Input on N85,000 is incorrect. The amount is stated as VAT Inclusive hence the VAT Input implicit is calculated as 5/105*85000 = 4047.619048

    Great Article and quite Illustrative by the way. Recommended for people

    • Anonymous

      July 7, 2020 at 11:22 am

      You are right….his computation is wrong

  5. Ola

    May 25, 2014 at 11:18 pm

    Very helpful article but I will like to ask questions and I’ll need ur answers pls.

    Question 1.

    For instance please show the calculation of amount of VAT to be remitted on an item costing 13000 naira and sold for 13500?.

    Question 2A.

    This question may not directly be related to this article but I’m curious to know. For instance a business name is registered and already acquired a TIN but physically not to yet commenced operation noting that there’s a portion in the TIN application form where commencement date of business has been filled, and the business incorporation date has exhausted the initial 6 free months. Is this business liable to pay anything for the period of not operating by the time it wants to start fully?.

    • Ugodre

      May 26, 2014 at 8:11 am

      Question 1. For your sales of N13,500 your vat payable will be N675 (5% of N13.5k). It is also known as the Output VAT. The 13,000 assuming it is the cost of sale will be N650 (5% of 13k) otherwise know as Input Vat. The vat you pay at the end of the day will be N675-N650= N25

      Question 2. You will not pay tax but may be liable to minimum tax if you declare revenues that fall in that bracket.

      Hope this helps.

      Regards

  6. Aby

    June 6, 2014 at 5:56 pm

    A Quick One: Please how do you VAT Rent in residential or commercial property use, as a property consultant. Do you VAT the Rent or Commission of Rent?

    Thanks for the beautiful piece.

    • Ugodre

      June 7, 2014 at 4:39 pm

      Companies that are setup solely for trading in commercial properties are expected to charge rents. This is because the Federal Inland Revenue sees those properties as part of the company’s trading stock and as a result will charge them VAT. This is a different from a regular Landlord who just make an additional income via rent.

  7. kayode james

    November 1, 2014 at 7:54 am

    I have registered a business name and as well gotten a TIN. I had hoped to get supply contracts to start but things have not gone quite well and so as not to be in violation of tax laws, I am thinking of de-registering the business nameand I want to know if this is possiblle and what do you advise

    • Nairametrics

      November 2, 2014 at 8:51 pm

      Hi, I am not so sure about de-registering your business, however you can liquidate it if you feel it is no longer in operations. You can also write to the tax authority or visit them for more information.

  8. Tokunbo Jekiayinfa

    November 1, 2014 at 8:36 am

    I am quite confused on where I fall in this taxation issues. For instace I am an exerienced mechanical engineer working with a company and the company deducts payee from my salary but on my own time I make money from helping some of my contacts source for materials to execute their supply contracts. My question are as followws
    1. How do I categorise this extra income dat comes from time to time for taxation because they run into several thousands
    2. If I have to register a business name for this work that I do on my own time, will it not be illegal since I am already employed and if it is not illegal how what category will the business name fall into

    • Nairametrics

      November 2, 2014 at 8:55 pm

      Hi, You should pay tax on the additional income you make by filing a self assessment form at the state tax office where you reside. That income will be taxed under the personal income tax act. There is no law against registering a company, however check that your current terms of employment does not restrict you from engaging in activities or owning or being part of a business that is in direct competition with your current place of employment.

  9. Uzo

    January 9, 2015 at 4:21 pm

    How much VAT is deductible by a Ministry of government from the fees of a firm (registered as a business name) it has engaged for consultancy services? 5% or 10%?

    • Anonymous

      February 27, 2015 at 12:27 pm

      pls just to know,is Nepa suppose to ask a residential home for Vat?

      • Nairametrics

        February 27, 2015 at 4:04 pm

        yes

  10. Yetunde

    March 30, 2015 at 8:58 am

    nice input. My question is this:
    We have a company that does smoothie drink and sell on a daily basis. at the end of each month how do we calculate our tax to remit to the FIRS. thanks.

  11. brandneu

    April 4, 2015 at 10:25 am

    i am wondering about a business in nigeria that means i but goods for resale from europe where cos i am resident i pay 20% vat. how will that be worked out in nigerian tax after i have sold the item? now in all honesty, in some situations i can get the vat back depending on how i ship and who i buy from. but in situations were i can’t – again being resident in europe but also nigerian???

  12. ali

    June 14, 2015 at 5:31 pm

    Help required on WHT deduction at source.

    Background
    A company enters a service contract with a supplier for the provision of life support and misc. daily supplies of food and other consumables.
    The contract stipulates that the contractor will charge the cost of purchases (along with proof of purchase) and add a service charge of 10%.

    Suppliers invoice

    Cost of supplies N 1,000
    Service Charge @ 10% N 100
    Total Supplies N 1,100
    VAT @ 5% N 55
    Invoice total N 1,155

    Question

    Is the supplier charging correct VAT on total supplies which is cost plus service charge? Should it not be only on the service element of N 100?
    Please also suggest on whether WHT should be deducted on Total supplies or Invoice total or only the service element of N 100.
    Assuming the cost of supplies is treated as reimbursement.

    Thanks.
    Ali

    • Wasiu Mohammed

      January 9, 2017 at 1:52 pm

      The correct VAT should be charged on Value of services rendered of #1,000 and not #1,100. Also on WHT, it should be charged on # service charge of #1,100.

  13. Anonymous

    November 10, 2015 at 2:59 pm

    Well done guys

  14. Onyeka

    March 13, 2016 at 7:09 pm

    I run a dispatch service how do i calculate vat?

  15. amaka

    April 7, 2016 at 11:10 am

    How do you calculate VAT returns for a contract one got from an oil company worth 299597.60 inclusive of 5 percent vat

  16. samuel A

    December 7, 2016 at 2:32 pm

    I love you guys

  17. Sunny Chuks

    January 30, 2017 at 2:09 pm

    Good day i just wanted to know how you got the vat input of 3809.52 ?

    • idemudia bright

      November 12, 2019 at 12:01 pm

      exactly, dont think 5% was used cos am getting #4,047

  18. Clinton

    February 22, 2017 at 1:23 pm

    Are all cash inflow into the Company’s Corporate Account VATable?

  19. Anonymous

    March 29, 2017 at 12:55 pm

    is VAT on clearing bill for imported goods claimable as INPUT VAT

  20. Anonymous

    April 7, 2017 at 2:59 pm

    Question: If I have a contract to supply item X and I charge client VAT on my invoice. Client deducts VAT & WHT. Item X for supplied was purchased with VAT, which means VAT remitable is not acctually what I charged on my invoice but still the entire amount is remitted on my behalf by my client. How do we resolve this as technically I am now being owed by the government.

    Does one then apply for tax refunds and use that againts my payable income taxes at the end of the year? I think I understand how it works but would like to know real case scenario in Nigeria.

  21. James

    April 27, 2017 at 10:31 am

    Does the man selling provission on the street pay VAT also? And whose soucers of funding the business depend on Bank loan pay VAT as well?

  22. Anonymous

    February 4, 2018 at 7:09 am

    On quotation, if the project is 10million less Vat, how much will I invoice including Vat and also how much will the client pay me?

  23. prince

    May 8, 2018 at 2:07 pm

    plx i need an urgent reply plxxx, a company that has many branches and now opened a new branch should they still use the same tin no in remitting taxes in that new state they just commenced operations,i want to know if it wont be a double taxation if am to remit in that new state wth dat same tin no

    • Ibukun Samuel

      May 8, 2018 at 3:38 pm

      Dear Prince, you will remit with the same TIN so far it is FIRS

  24. Peter

    June 19, 2018 at 5:22 pm

    Great article, Very illustrative and practical irrespective of small error pointed out by Gee

  25. Comfort

    July 4, 2018 at 3:25 am

    This article has helped alot, but what are the charges to be deducted before calculating VAT? esp. for a kind of business that do delivery.

  26. Anonymous

    July 15, 2018 at 7:59 pm

    Pls how do I calculate my VAT as a construction firm. For instance, I got a contract of 3,000,000 and I executed it with 2,6000,000. How much will pay as VAT. Pls I need a urgent response. Thanks

    • Chris Madu

      October 28, 2019 at 5:52 pm

      You will have to put together all VATABLE invoices that support your execution amount. Let’s assume you have this and it is the N2,600,000 you used in executing the contract:

      5% of N3,000,000 = 150,000
      5% of N2,600,000 = 130,000

      (150,000 – 130,000 = 20,000). N20,000 should be the VAT.

  27. Humbat facilities Managment Services Limited

    July 26, 2018 at 11:34 am

    this is a new company two month old and just got a contract of 35,000, present i hava my TIN Number,
    The job was executed for 28,000 after materials with receipt and labour.
    My question is how am suppose to remit?

  28. Gabriel

    November 4, 2018 at 2:04 pm

    Very informative …my question is , as a key distributor of a product manufactured in Nigeria. Do I need to pay Vat ? Considering the company that manufactures the goods already do pay Vat . Thanks

    • Adekunle Adeola

      April 7, 2019 at 6:52 am

      Good day. Am asking the same question that Gabriel asked. But I discover no reply was given. I really appreciate reply on this question. What a great site. God bless.

      • Alfred Akuki

        April 8, 2019 at 9:05 am

        Hi Adekunle, sorry for the delayed response, what was the question?

  29. Shuaib Adedayo

    July 12, 2019 at 10:56 pm

    Comment:please this is my problem.
    manufacturer sold goods at #300000 To a whosaler who later sold it at #315000 to a retailer who also sold it to mr ADE At #350000. What is vat payable?

    • Alfred Akuki

      July 13, 2019 at 5:50 pm

      Hi Shuaib, everyone from the manufacturer to the retailer will pay VAT separately.

  30. Gabriel Ode

    October 30, 2019 at 12:05 pm

    please why is VAT calculated as 5/105 *the amount

  31. Adewale Adekunle

    March 4, 2020 at 3:24 pm

    Please assist with this:

    I purchased goods from a foreign supplier who charged $5 dollars as vat.
    I sold the produced goods at vat inclusive rate of 7.5% in Nigeria

    How do i calculate the amount to remit to FIRS?

    Thanks.

  32. Adepoju Toyin

    March 23, 2020 at 3:42 pm

    Good day sir/ma,
    How do you calculate vat on internet service rendered to an organisation?

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Coronavirus

COVID-19 Update in Nigeria

On the 8th of July 2020, 460 new confirmed cases and 15 deaths were recorded in Nigeria.

Published

on

The spread of novel Corona Virus Disease (COVID-19) in Nigeria continue to record significant increase as the latest statistics provided by the Nigeria Centre for Disease Control reveal Nigeria now has 30,249 confirmed cases.

On the 8th of July 2020, 460 new confirmed cases and 15 deaths were recorded in Nigeria, having carried out a total test of 169,629 samples across the country.

UBA ADS

To date, 30,249 cases have been confirmed, 12,373 cases have been discharged and 684 deaths have been recorded in 36 states and the Federal Capital Territory. A total of 169,629 tests have been carried out as of July 6th, 2020 compared to 152,952 tests a day earlier.

COVID-19 Case Updates- 8th July 2020,

  • Total Number of Cases – 30,249
  • Total Number Discharged – 12,373
  • Total Deaths – 684
  • Total Tests Carried out – 169,629

According to the NCDC, the 460 new cases were reported from 21 states- Lagos (150), Rivers (49), Oyo (43), Delta (38), FCT (26), Anambra (20), Kano (20), Plateau (18), Edo (14), Bayelsa (13), Enugu (13), Osun (12), Kwara (10), Borno (8), Ogun (7), Kaduna (6), Imo (4), Bauchi (3), Gombe (3), Niger (2), Adamawa (1).

Meanwhile, the latest numbers bring Lagos state total confirmed cases to 11,670, followed by Abuja (2,348), Oyo (1,573), Edo (1,503), Delta (1,323), Kano (1,291), Rivers (1,284), Ogun (1,057),  Kaduna (889), Katsina (628), Borno (563), Ondo (550), Gombe (524), Bauchi (519), Ebonyi (503), Plateau (478), Enugu (431), Abia (400),  Imo (356), Jigawa (318).

GTBank 728 x 90

Kwara state has recorded 307 cases, Bayelsa (282), Nasarawa (234), Osun (210), Sokoto (153),  Niger (124), Benue (121), Akwa Ibom (112), Adamawa (100), Anambra (93), Kebbi (86), Zamfara (76), Yobe (61), Ekiti (45), Taraba (27), while Kogi and Cross River state have recorded 5 cases each.

 

READ ALSO: COVID-19: Western diplomats warn of disease explosion, poor handling by government

onebank728 x 90

Lock Down and Curfew

In a move to combat the spread of the pandemic disease, President Muhammadu Buhari directed the cessation of all movements in Lagos and the FCT for an initial period of 14 days, which took effect from 11 pm on Monday, 30th March 2020.

The movement restriction, which was extended by another two-weeks period, has been partially put on hold with some businesses commencing operations from May 4. On April 27th, 2020, Nigeria’s President, Muhammadu Buhari declared an overnight curfew from 8 pm to 6 am across the country, as part of new measures to contain the spread of the COVID-19. This comes along with the phased and gradual easing of lockdown measures in FCT, Lagos, and Ogun States, which took effect from Saturday, 2nd May 2020, at 9 am.

On Monday, 29th June 2020 the federal government extended the second phase of the eased lockdown by 4 weeks and approved interstate movement outside curfew hours with effect from July 1, 2020.

app
GTBank 728 x 90

 

READ ALSO: Bill Gates says Trump’s WHO funding suspension is dangerous

DateConfirmed caseNew casesTotal deathsNew deathsTotal recoveryActive casesCritical cases
July 8, 2020302494606841512373171927
July 7, 2020297895036691512108170127
July 6, 202029286575654911828168047
July 5, 2020287115446451111665164017
July 4, 202028167603634611462160717
July 3, 2020275644546281211069158677
July 2, 2020271106266161310801156937
July 1, 2020264847906031310152157297
June 30, 202025694561590179746153587
June 29, 20202513356657389402151587
June 28, 20202486749056579007149957
June 27, 20202407777955848625148947
June 26, 20202329868455458253144917
June 25, 20202261459454977822142437
June 24, 20202202064954297613138657
June 23, 20202137145253387338135007
June 22, 20202091967552577109132857
June 21, 202020242436518126879128477
June 20, 202019808661506196718125847
June 19, 202019147667487126581120797
June 18, 20201848074547566307116987
June 17, 202017735587469145967112997
June 16, 202017148490455315623110707
June 15, 20201665857342445349108857
June 14, 202016085403420135220104457
June 13, 20201568250140785101101747
June 12, 20201518162739912489198917
June 11, 2020145546813875449496737
June 10, 20201387340938217435191407
June 9, 2020134646633654420688937
June 8, 2020128013153617404084007
June 7, 20201248626035412395981737
June 6, 2020122333893429382680657
June 5, 20201184432833310369678157
June 4, 2020115163503238353576467
June 3, 2020111663483151332975227
June 2, 20201081924131415323972667
June 1, 20201057841629912312271579
May 31, 20201016230728714300768687
May 30, 2020985555327312285667267
May 29, 202093023872612269763447
May 28, 202089151822595259260647
May 27, 202087333892545250159787
May 26, 2020834427624916238557107
May 25, 202080682292337231155247
May 24, 202078393132265226353607
May 23, 202075262652210217451317
May 22, 2020726124522110200750337
May 21, 2020701633921111190748987
May 20, 202066772842008184046377
May 19, 202064012261921173444757
May 18, 202061752161919164443407
May 17, 202059593881826159441837
May 16, 202056211761765147239737
May 15, 202054452881713132039544
May 14, 202051621931683118038154
May 13, 202049711841646107037374
May 12, 20204787146158695936704
May 11, 202046412421521090235894
May 10, 202043992481421777834794
May 9, 202041512391271174532784
May 8, 202039123861181067931154
May 7, 20203526381108460128184
May 6, 20203145195104553425071
May 5, 2020295014899548123704
May 4, 2020280224594641722912
May 3, 2020255817088240020702
May 2, 20202388220861735119522
May 1, 20202170238691035117512
April 30, 2020193220459731715562
April 29, 2020172819652730713692
April 28, 2020153219545425512322
April 27, 20201337644102559942
April 26, 20201273914152399942
April 25, 20201182873632229252
April 24, 202010951143312088552
April 23, 20209811083231977532
April 22, 2020873912931976482
April 21, 20207821172631975602
April 20, 2020665382311884662
April 19, 2020627862221704362
April 18, 2020541482021663562
April 17, 2020493511841593172
April 16, 2020442351311522772
April 15, 2020407341211282672
April 14, 202037330111992632
April 13, 202034320100912422
April 12, 20203235100852282
April 11, 202031813103702382
April 10, 20203051770582402
April 9, 20202881471512302
April 8, 20202742260442262
April 7, 20202541661442042
April 6, 2020238650351982
April 5, 20202321851331942
April 4, 2020214540251850
April 3, 20202092542251800
April 2, 20201841020201620
April 1, 2020174352091630
March 31, 202013982091280
March 30, 2020131202181210
March 29, 2020111221031070
March 28, 20208919103850
March 27, 2020705103660
March 26, 20206514102620
March 25, 2020517102480
March 24, 2020444102410
March 23, 20204010112370
March 22, 2020308002280
March 21, 20202210001210
March 20, 2020124001110
March 19, 20208000170
March 18, 20208500170
March 17, 20203100030
March 16, 20202000020
March 15, 20202000020
March 14, 20202000020
March 13, 20202000020
March 12, 20202000020
March 11, 20202000020
March 10, 20202000020
March 9, 20202100020
March 8, 20201000010
March 7, 20201000010
March 6, 20201000010
March 5, 20201000010
March 4, 20201000010
March 3, 20201000010
March 2, 20201000010
March 1, 20201000010
February 29, 20201000010
February 28, 20201100010

devland
Patricia
Continue Reading

FEATURED

Diversion points for third mainland bridge closure revealed

There would be a diversion of traffic in 2 phases during the partial closure of the bridge.

Published

on

FG discloses measures, diversion points for traffic during closure of Third Mainland Bridge

The Federal Government has announced the different phases points of diversion of traffic during the partial closure of the Third Mainland bridge for repair works.

This was disclosed during a joint press conference by the Federal Controller of Works in Lagos, Engr Olukayode Popoola, the Lagos State Commissioner for Transportation, Dr. Frederic Oladeinde and the Special Adviser to Governor Babajide Sanwo-Olu on Works, Engr Aramide Adeyoye, on Tuesday at Alausa Ikeja.

UBA ADS

During the press conference, the Federal and Lagos State Governments have appealed to motorists and Lagos residents to cooperate with government and appropriate agencies during the 6 months partial closure of the Third Mainland Bridge for maintenance work, which is expected to start on July 24.

They also assured Lagosians that necessary measures would be put in place to reduce gridlocks during partial closure of the bridge as they would work with appropriate authorities to direct and control traffic movement in the affected areas and alternative routes.

Engr. Popoola revealed that there would be diversion of traffic in 2 phases during the partial closure of the bridge between Friday, July 24, 2020 and January 24, 2021.

GTBank 728 x 90

READ MORE: Lagos Government gives approval to 7 private labs to commence COVID-19 testing

He said the First Phase of the diversion, which will last for 3 months of repairs of the Oworonsoki bound lane of the Third Mainland Bridge, would be for morning traffic from 12:00 am to 1:00 pm from Oworonshoki to Lagos Island on the Lagos Island-bound lane, while the afternoon traffic from 1:00 pm to 12:00 am would be from Lagos Island to Oworonsoki on the Lagos Island-bound lane.

Engr. Popoola said the Phase 2 of the diversion, which would last also for three months of repairs of the Lagos Island-bound lane of the Third Mainland Bridge, would be for morning traffic from 12:00 am to 1:00 pm from Oworonsoki to Lagos Island on the Oworonsoki bound lane, while the afternoon traffic from 1:00 pm to 12:00 am would be from Lagos Island to Oworonsoki on the Oworonsoki bound lane.

onebank728 x 90

Popoola said, “Motorists are advised to also ply these alternative routes: First, from Carter Bridge through Iddo through Oyingbo to join Adekunle ramp inward Oworonsoki. Secondly, from Ijora Olopa through Western Avenue to Ikorodu Road.

On his own part, the Lagos State Commissioner for Transportation, Dr. Oladeinde said priority will be given to those driving from Mainland to the Island in morning and afternoon to use the Third Mainland while those driving against traffic will use the alternative routes.

READ MORE: FG to shut Third Mainland Bridge for 6 months 

app
GTBank 728 x 90

Dr. Oladeinde assured motorists that Lagos State Traffic Management Authority (LASTMA) will work with Federal Road Safety Corps (FRSC) in all the alternative routes to ensure that motorists have a smooth journey during the partial closure of the bridge.

The commissioner advised those who don’t have any genuine reason to be on the road to stay at home to reduce vehicular movement during this period while adding that the public vehicles would be available and affordable for road users.

He said: “If you don’t have to travel, I will advise that you stay at home so that we can minimise the number of vehicles on the road. If you can work at home, please do. But if you can’t, we will ensure will be on the road for you to get to your destination as quickly as possible.”

devland

Dr. Oladeinde also advised people of Lagos State to use alternative transport such as ferries. He said there will be an increase in the number of fleets by the Lagos Ferry Services in the morning for people from Ikorodu and Mile 2 as alternative transportation.

READ ALSO: Fourth Mainland Bridge to begin before December

app

Also speaking, Engr. Adeyoye while appreciating the Federal Government for the repair of Third Mainland Bridge, said Lagos State Government has commenced necessary preparatory works on all the alternative routes in the state to make them motorable for the commuters.

Adeyoye said the state will do its best within two weeks to work on all the roads that may likely cause gridlocks to be free of potholes.

She also warned trucks and vehicles that are not road worthy or serviceable to stay away from Lagos roads.

 

 

 

 

 

Patricia
Continue Reading

Around the World

Africa’s GDP could fall by 3.4% in 2020 if COVID-19 continues – AfDB 

The bank warns projected GDP losses for 2021 ranges from $27.6 billion to $47 billion.

Published

on

Akinwunmi Adesina, Afdb, Africa’s GDP could fall by 3.4% in 2020 if COVID-19 continues – AFDB

The African Development Bank (AFDB) published its African Economic Outlook 20202 Supplement on Tuesday and warned that the continent’s GDP would fall by at least 1.7%, and if the coronavirus pandemic continues into the second half of 2020, it could contract up to 3.4%. 

“Real GDP in Africa is projected to contract by 1.7% in 2020, dropping by 5.6 percentage points from the January 2020 pre-COVID-19 projection of the virus, if the virus has a substantial impact but of short duration. If it continues beyond the first half of 2020, there would be a deeper GDP contraction in 20202 of 3.4% down by 7.3 percentage points from growth projected before the outbreak of COVID-19,” the bank said. 

UBA ADS

Access Economic Research Data and the Associated Insights from Nairametrics

AFDB warns that cumulative GDP losses could range between $173.1 billion and $236.7 billion in 2020-2021. 

“Africa could suffer GDP losses in 20202 between $145.5 billion (baseline) and $189.7 billion (worst case) from the pre-COVID-19 estimated GDP of $2.59 trillion for 2020”. 

GTBank 728 x 90

The bank warned some losses will be carried over into 2021, as the projected recovery would be partial, and warns projected GDP losses for 2021 ranges from $27.6 billion to $47 billion (worst case). 

READ MORE: Aviation: Aviation sector grasps for stimulus in worst ever crisis

The bank said countries with poor healthcare systems, oil-exporting nations, tourism-dependent nations and other resource-dependent nations will be the hardest hit. 

onebank728 x 90

The bank calls for countries to reopen economies and advised a “phased and incremental approach that carefully evaluates the trade-off between restarting economic activity to quickly and safeguarding the health of the population”. 

READ ALSO: Recession: Nigerian economy to slide by 3.4% in 2020 – IMF

The Economic Outlook Supplement is a revised projection from an earlier January outlook that projected 3.9% growth from Africa’s largest multilateral bank. 

app
GTBank 728 x 90

Patricia
Continue Reading