A financial economist, Prof. Chris Kalu of the Department of Economics, Nnamdi Azikiwe University, Awka, has urged the Federal Government to embark on massive public enlightenment on the new tax regime to avert potential economic risks.
Kalu made the call on Thursday in Awka while speaking with journalists, warning that inadequate explanation of the policy could create uncertainty, erode public confidence in banks, and trigger negative reactions such as reduced banking activity or bank runs.
He explained that the new tax policy, which is largely bank-based, must be clearly communicated to taxpayers-particularly bank customers, to assure them that their deposits and transactions are secure.
According to him, unresolved ambiguities could expose the system to abuse by financial institutions and generate fear among depositors.
“The new tax policy took effect on January 1, but many Nigerians still do not know what is being taxed, how it is being taxed, or what they are expected to pay,” Kalu said.
He noted that confusion persists over which tax law is currently being implemented-whether the version approved by the National Assembly or the one eventually signed-making it difficult for citizens to understand their tax brackets and rates.
Kalu stressed that such uncertainty could lead people to believe their funds are unsafe or subject to arbitrary deductions, increasing the risk of mass withdrawals from banks.
He called on the government to deploy all relevant institutions, including the Ministry of Information and Communication, the National Orientation Agency, and the media, to educate Nigerians comprehensively on the new tax framework.
The economist added that while taxes are a civic obligation, they must be matched with visible delivery of social services to gain public trust.
He concluded that fiscal policies, though essential, could send damaging and unintended shocks through the economy if poorly communicated or implemented without public buy-in.
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