- Safiu Kehinde
The Federal Government has hinted possible removal of Value Added Tax (VAT) from pharmaceutical products following the finalization of the Executive Order Harmonized Implementation Framework.
This was disclosed in a statement issued by the Ministry of Health and Social Welfare’s spokesperson, Alaba Balogun, yesterday.
According to the statement posted on the Ministry’s official X handle, implementation of the Executive Order will see to a notable reduction in the prices of essential pharmaceutical products and medical consumables.
This, according to Alaba, will enable quality healthcare accessible and affordable for all Nigerians- a development which the ministry claimed aligns with their unwavering commitment to reducing both the physical and financial pain faced by millions of Nigerians who depend on these critical health supplies.
The statement read in part; “The Ministry of Health and Social Welfare is pleased to announce the finalization of the Executive Order Harmonized Implementation Framework, which has now been cleared for gazetting.
“This critical step ensures that the Federal Inland Revenue Service (FIRS) and the Nigeria Customs Service can proceed with the implementation of zero VAT and excise duties on pharmaceutical products and medical devices.
“This is a significant milestone, as it opens the door for our local pharmaceutical and medical device manufacturers to begin fully benefiting from the relief measures outlined by His Excellency, President Bola Ahmed Tinubu, in the Executive Order.
“With the implementation of this Executive Order, we anticipate a notable reduction in the prices of essential pharmaceutical products and medical consumables.
“This development aligns with the Ministry’s unwavering commitment to reducing both the physical and financial pain faced by millions of Nigerians who depend on these critical health supplies.
“Furthermore, the gazetting of the Harmonized Implementation Framework represents the realization of the third pillar of the Ministry’s 4-point agenda, which focuses on unlocking the healthcare value chain.
“By creating an environment that supports local manufacturers, we are fostering a healthier, more self-reliant nation, and ensuring that quality healthcare becomes more accessible and affordable for all.”