The Nigeria Integrated National Financing Framework (INFF), aligned with the Addis Ababa Action Agenda, supports Government of Nigeria in mobilizing private and public resources to finance its development agenda. Through the INFF, Nigeria is strengthening both conventional and innovative financing mechanisms to boost public revenues and private investments.

In its first phase, the Government integrated the SDGs into national planning, established baseline indicators, conducted a Development Finance Assessment (DFA), adapted the integrated SDG (iSDG) model for policy analysis, and formed an INFF Steering Committee and Core Working Group. The second phase focused on creating a sequenced action plan for improving financing flows from public and private sectors, resulting in a comprehensive Financing Strategy, launched at the UN General Assembly in September 2022. This has positioned Nigeria as a global frontrunner in the INFF.

Led by the Federal Government, the INFF Steering Committee is co-chaired by the Minister of Finance, and the UN Resident Coordinator, with secretarial support from OSSAP-SDGs. With support from UNDP and EU Delegation in Nigeria, the Government is now implementing strategic initiatives to enhance revenue generation and financing flows for sustainable development.

Some Key Achievements

• Revenue Mobilization and Tax Administration: Facilitated N756 million additional revenues in Ondo State Inland Revenue Service with improved collections of land use charges and personal income tax from high-net-worth individuals.

• Investment Facilitation for SDG Enterprises: Investment facilitation and technical assistance provided to over 30 SDG-aligned enterprises, with a focus on youth and women-owned businesses, raising US$ 15 million from global investors for EHA Clinics, Vittas International, and Agriarche.

• Investment Promotion in Gombe: Facilitated the establishment of the Gombe State Investment Promotion Agency, enabling N14 billion investments, projected to create over 2,000 jobs. An additional N19 billion in investments is being mobilized across housing, agriculture, and solid minerals sectors.

• Improving Ease of Doing Business in Abia: Supported targeted reforms in Abia State that improved its ease of doing business ranking from 33rd in 2021 to 21st in 2023, largely driven by a 103.2% increase in investment promotion efforts.

• Investment Showcases in Ondo, Edo and Anambra: Supported Ondo State in showcasing investment opportunities at "Develop Ondo 2.0" and various diaspora summits, with anticipated investments exceeding NGN 50 billion. Additionally, assisted Edo State in identifying and promoting investment opportunities to both global and local investors. Supported the Anambra Investment Promotion and Protection Agency to organize the ANINVEST 2.0 summit during which commitment of $500 million was made in 6 market-ready projects showcased at the summit.

• Support for Artisanal and Small-Scale Miners: Formalized 120 artisanal and small-scale miners (ASMs) in Plateau State, providing training, equipment, and legal support, increasing their weekly output from 70 kg to 130 kg, and boosting both earnings and government revenue.

  

Upcoming Activities: 

• Establishment of Nigeria INFF Resource Facility.

• Design of a Climate and Energy Facility for Nigeria Integrated Clean Energy Offer.

• Investment brokering for a new pipeline of SDG-aligned enterprises.

• Expansion of transfer pricing tax audits for oil and gas cases

• Development of a comprehensive M&E system for tracking taxpayer transactions

• Establishment of a criminal forensic lab for coordinated tax investigation.

   

  

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  ABOUT Tax for SDG Initiative                                                                 

• The Nigeria Tax for SDGs initiative is driving change by integrating sustainable tax practices to foster economic growth, reduce inequality, and enhance social welfare, through existing partnerships with FIRS, the Ministry of Finance, and state tax authorities in Ondo and Kaduna. 

• Collaborating with the African Tax Administration Forum (ATAF) and TIWB, the initiative has strengthened human capacity for transfer pricing audits in the oil and gas sector, targeting illicit financial flows and launching a Criminal Investigation project to support tax crime investigators. Capacity development at the state level is equally robust, with tailored support for state tax authorities to enhance their revenue mobilization abilities.

• As a direct result of the programme, tax officers across Nigeria are better equipped with digital tools and advanced audit skills; ensuring that tax administration is more transparent, efficient, and impactful, ultimately directing more resources toward the SDGs.

   

  Some Key Achievements:

• Revenue Mobilization and Tax Administration: Supported federal tax revenues increase by N17.7 billion in 2023, through human capacity strengthening for specialized transfer pricing audits in the oil and gas sector in partnership with the Tax Inspectors Without Borders (TIWB) and Tax for SDGs initiative.
• Strengthening Tax Compliance: Enhanced FIRS’s capacity to tackle illicit financial flows and reduce tax evasion by bolstering criminal investigation capabilities.

• Digital Transformation for FIRS: Developed a Digital Transformation Maturity Model (DTMM) to guide FIRS’s digital transformation.

   

  Upcoming Activities: 

• Implementation of the Gender Equality Seal for federal and state tax institutions

  

   

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  ABOUT Insurance and Risk Finance Facility (IRFF)

  The Insurance and Risk Finance Facility (IRFF) was established to help protect people, communities and businesses from crises and disasters, building long term financial resilience. 

  Key Pillars:

• Inclusive Insurance: Through effective partnerships with insurers at all levels, we are developing innovative insurance products and distribution solutions designed specifically to meet the needs of underserved populations. 

• Integrating Insurance into Development: Our work with industry and government integrates insurance and risk-financing into the way government financially manage their risks and build long-term financial resilience, with a focus on integrating modelling and analysis of the impacts shock and risk on development and development finance.

• Sovereign Risk Financing: Partnering with Insurance Development Forum (IDF), we are building institutional capacity and regulatory environments that are critical to limiting the impact of disasters on people’s lives and to help countries' reach their development goals. 

   

  Some Key Achievements:

• Capacity Building in Climate Finance and Insurance: Enhanced the capacities of the National Insurance Commission (NAICOM), other regulatory bodies, and the private sector in climate finance and insurance mechanisms. 

• Diagnostic Assessment of Inclusive Insurance in Nigeria: Identified key risks, assessed the current inclusive insurance and disaster risk finance landscape, and provided actionable recommendations to advance inclusive insurance, risk financing, and sustainable development.

   

   Upcoming Activities

• Launch of Lagos State Flood Risk Transfer Scheme, an insurance solution to protect 8.5 million vulnerable poor population of Lagos against the risk of flooding.

• Insurance Innovation Challenge to create innovative products for the most vulnerable and underserved.

• Inclusive Insurance Certification programme launched in partnership with the College of Insurance and Financial Management (CIFM) to strengthen capacities for delivering microinsurance services.

• Insurance Literacy Campaign to reach out to potential consumers on the benefits of insurance and the rights of consumers.

For more information on INFF, please contact:

Tony Muhumuza

Senior Economist Advisor, UNDP Nigeria

Tony.muhumuza@undp.org

Precious Akanonu

National Economist, UNDP Nigeria

precious.akanonu@undp.org

Rose Keffas

Office of the Senior Special Assistant to the President (OSSAP-SDGs)

rose.keffas@sdgs.gov.ng 

Tax for SDGs focal point: Oyintare Abang || IRFF focal point: Henry Akwitti

For media inquiries, please contact: 

Christabel Chanda-Ginsberg 

Public Engagement Outreach and Partnerships Lead, UNDP Nigeria. 

christabel.chanda-ginsberg@undp.org