The Centre for Promotion of Private Enterprise (CPPE), under the leadership of Dr. Muda Yusuf, has expressed concerns regarding the potential ramifications of the new Expatriate Employment Levy (EEL) implemented by the federal government. Dr. Muda Yusuf articulated these concerns in a statement issued in response to the policy initiative introduced by the administration of President Tinubu, highlighting its potential adverse effects on investment and regional integration within ECOWAS and across Africa.
Dr. Yusuf emphasized that the imposition of the new policy may deter investment in the real sectors of the Nigerian economy. He pointed out that the policy fails to differentiate between workers from other African countries, despite Nigeria’s influential leadership position on the continent. He underscored Nigeria’s prominent role in Africa, with the current presidency of President Tinubu in ECOWAS, suggesting that the policy’s lack of exception for African brethren and neighbors is noteworthy.
Addressing the potential impact on diaspora Nigerians, Dr. Yusuf cautioned that the policy could provoke reciprocal actions from other nations, potentially jeopardizing the interests of Nigerians residing abroad. With over 17 million Nigerians thriving in various countries globally, he stressed the vulnerability of the diaspora population, highlighting their significant contributions through remittances exceeding $20 billion annually. Activation of reciprocity policies in host countries, he warned, could have devastating consequences for Nigerian diaspora citizens.
Furthermore, the CPPE advocated for an extension of the compliance period, considering the current four-week timeframe insufficient. The group recommended an extended compliance period of six months to facilitate smoother implementation and compliance with the new policy.
The introduction of the Expatriate Employment Levy by the federal government aims to bolster revenue collection, foster job creation for Nigerian citizens within foreign-operated companies in Nigeria, and mitigate salary disparities between expatriate and Nigerian employees. The policy is expected to yield various benefits, including enhanced economic activity and improved employment opportunities for Nigerian nationals.
Source: Statement from the CPPE
