World Bank tells FG to increase taxes on alcohol, cigarette

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The World Bank has called on the Federal Government to impose special taxes on alcohol, cigarettes and sugar-sweetened beverages, and use the fund raised to improve primary healthcare.

World Bank Group’s Country Director for Nigeria, Mr Shubham Chaudhuri, made the call on Friday in Abuja at a special National Council on Health meeting organised by the Federal Ministry of Health.

He said, “If we want to improve healthcare in Nigeria, we need to tax the things that are killing us.

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“The economic rationale for taxing these products is strong if we want to save lives and make a better and healthier Nigeria.”

Chaudhuri noted that taxes on tobacco, alcohol and sugar-sweetened beverages would reduce the health risks associated with their consumption and expand fiscal space for universal health coverage post-COVID 19.

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The country director stated that investing in stronger health systems for all would contribute to tackling rising poverty and inequality.

He added that health tax increases would have the additional advantage of reducing future healthcare costs by curbing the growth of the non-communicable diseases that tobacco, alcohol, and sugar-sweetened beverages cause.

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