In a concerted effort to significantly lower the costs of healthcare delivery in Nigeria, the Ministry of Health and Social Welfare has announced the finalisation of the Executive Order Harmonised Implementation Framework, which has now been cleared for gazetting.
This development, permits the Federal Inland Revenue Service (FIRS) and the Nigeria Customs Service to implement zero VAT and excise duties on pharmaceutical products and medical devices coming into the borders of the country.
The Minister for Health and Social Welfare, Prof. Muhammad Ali Pate, made this disclosure on Wednesday through a statement on X, as he highlighted the significance of the Executive Order stating that, it marks a critical step in the efforts to reduce the financial burden on Nigerians who rely on essential medicines and medical devices. “By removing VAT and excise duties, we are creating an environment that supports local manufacturers and ensures that healthcare products become more affordable for all,” he said.
He noted that the gazetting of this Harmonised Implementation framework is the realisation of the third pillar in its four-point agenda, which focuses on unlocking the healthcare value chain.
“With the full implementation of these relief measures, we are encouraging local production, reducing dependence on imports, and fostering a healthier, more self-reliant nation,” the statement read.
Prof. Pate further explained that relevant government agencies would immediately begin implementation.
“We have ensured that all necessary actions are taken, and the Federal Inland Revenue Service and the Nigeria Customs Service are ready to apply these changes without delay,” he added
The minister expressed gratitude to President Tinubu for his unwavering dedication to improving the healthcare sector and supporting local industries.
He said, believes that this development will lead to a reduction in the prices of pharmaceutical products and medical devices, thereby directly benefitting millions of Nigerians.
According to Pate, the implementation of the zero VAT initiative is also expected to boost local pharmaceutical and medical device manufacturers, contributing to a more robust and self-sufficient health system in Nigeria.
