The Federal Government has completed the Executive Order to enforce zero Value-Added Tax (VAT) and excise duties on pharmaceutical products and medical devices. The Federal Ministry of Health and Social Welfare’s spokesperson,
FG To Eliminate VAT On Pharmaceuticals
Alaba Balogun made this disclosure in an official statement released on Wednesday, October 9. As per the statement, the Federal government has completed the harmonized implementation framework for the Executive Order and is prepared to publish it in the official gazette.
“This critical step ensures that the Federal Inland Revenue Service and the Nigeria Customs Service can proceed with the implementation of zero VAT and excise duties on pharmaceutical products and medical devices. This is a significant milestone, as it opens the door for our local pharmaceutical and medical device manufacturers to begin fully benefiting from the relief measures outlined by His Excellency, President Bola Ahmed Tinubu, in the Executive Order.
With the implementation of this Executive Order, we anticipate a notable reduction in the prices of essential pharmaceutical products and medical consumables.
This development aligns with the Ministry’s unwavering commitment to reducing both the physical and financial pain faced by millions of Nigerians who depend on these critical health supplies.”
This comes about four months after the Coordinating Minister of Health and Social Welfare, Prof Muhammad Pate, announced that President Bola Tinubu signed an executive order to increase local production of healthcare products, including pharmaceuticals, diagnostics, devices such as needles and syringes, biologicals, medical textiles, and others.