Nigeria has instituted a mandatory annual levy for companies employing expatriate staff, mandating payments of $15,000 for directors and $10,000 for other roles.
This move aims to incentivize foreign companies to hire more Nigerian workers. Exemptions apply to diplomatic mission and government official staff.
President Bola Tinubu emphasized that the levy should not deter potential investors during the launch of the Expatriate Employment Levy (EEL) handbook, asserting that the government aims to enhance revenue and promote indigenization.
The objective of the levy is to bridge the wage gap between expatriates and the Nigerian workforce while creating more job opportunities for qualified Nigerians in foreign firms operating in the country.
President Tinubu expressed the expectation for transparent implementation to achieve these goals.
Nigeria has over 150,000 expatriates, primarily in sectors such as oil and gas, construction, telecommunications, and hospitality.
This development comes amid Nigeria’s severe economic crisis, prompting demonstrations by labor unions and government workers protesting economic hardships.
President Tinubu acknowledged the challenges faced by Nigerians and highlighted ongoing efforts to improve the country’s financial situation and stimulate economic growth.
The levy applies to employees working at least 183 days per year and imposes fines and potential jail terms for non-compliance.
The Nigerian Immigration Service will enforce the levy, operating under a public-private partnership model involving the government, immigration service, and a private firm, according to Interior Minister Olubunmi Tunji-Oj.
Source-BBC
