Wale Edun outlines fiscal strategy at Davos as Nigeria pushes economic reforms
The Federal Government has signalled plans to scale up investment in the economy, deepen domestic resource mobilisation, and reduce its reliance on borrowing, as part of ongoing fiscal reforms.
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, disclosed this during an interview on Bloomberg Television on Tuesday at the 56th World Economic Forum (WEF) in Davos, Switzerland.
According to Edun, the government’s current priority is to strengthen revenue generation rather than expand debt levels.
“The focus now is on revenue and domestic resource mobilisation,” he said. “We are hoping to rely less on borrowing.”
The minister explained that while Nigeria retains access to international capital markets, including global bond markets, the administration prefers to finance growth through locally generated resources wherever possible.
Edun said the government is implementing a range of measures to boost tax revenue, improve fiscal discipline and ensure long-term sustainability, even as global economic conditions remain uncertain.
He added that reducing borrowing while expanding revenue is central to the government’s economic strategy.
Since assuming office in 2023, President Bola Ahmed Tinubu’s administration has rolled out several structural reforms aimed at stabilising public finances and stimulating growth. These include the removal of fuel subsidies, the liberalisation of the foreign exchange market, and a comprehensive overhaul of the tax system.
Under the ongoing tax reforms, the Federal Government aims to raise tax revenue to about 18 per cent of GDP by next year, up from roughly 14 per cent currently.
Edun said the policies are designed to promote long-term economic sustainability, reduce dependence on external debt and strengthen investor confidence.
Nigeria’s reform efforts are beginning to reflect in economic forecasts. The International Monetary Fund (IMF) recently upgraded Nigeria’s growth projection to 4.4 per cent for 2026, from an estimated 4.2 per cent in 2025, despite softer global oil prices.
The IMF noted that continued reforms are expected to stabilise revenue collection and improve fiscal sustainability.
“The combination of domestic resource mobilisation and ongoing reforms highlights Nigeria’s commitment to reducing debt dependence and strengthening its economic foundations,” the Fund said.
Edun is expected to use the Davos meetings to engage global investors and address concerns around policy consistency, inflation, foreign exchange stability and fiscal management.
Nigeria’s participation at WEF 2026 is also marked by the debut of its first official national pavilion, Nigeria House Davos, aimed at showcasing investment opportunities and reinforcing the country’s reform narrative amid broader global challenges facing emerging markets.
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