From Adanna Nnamani, Abuja
The Federal Government has disclosed plans to enforce real-time financial data monitoring as part of new measures to curb illicit financial flows and boost domestic revenue generation.
Executive Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji, disclosed this on Tuesday at the National Conference on Illicit Financial Flows and Domestic Resource Mobilization held in Abuja.
Adedeji said the FIRS has launched an ambitious digital transformation programme that will enable authorities to track financial transactions, detect suspicious movements, and close revenue gaps in real time.
According to him, the new system will integrate comparative data analysis, anonymous detection, and real-time reporting to build a smarter, more equitable tax framework.
The FIRS boss stressed that this is not just about tax administration but about securing Nigeria’s fiscal future from local and cross-border financial crimes.
“Illicit financial flow, through tax evasion, profit-shifting, money laundering, and trade mis-importance do not merely represent financial abuse. They constitute a structural drain on our economy, depriving us of the resources needed for inclusive development.
“The recent assent of four tax reform bills on June 26, 2025, signals this administration’s strong commitment to overhauling our tax system, modernizing the legal framework, and institutionalizing transparency in revenue collection. But legal reform is only a starting point. To deliver on this promise, we must reinforce enforcement, optimize digital compliance, and build public trust through fairness, predictability, and strategic communication.
“We have launched an ambitious digital transformation programme aimed at improving cash tracking, financial intelligence, and data management. With real-time analysis and anonymous detection, we are building a system that is equitable, smart, and secure,” Adedeji said.
He warned that aggressive tax avoidance by multinational companies, profit shifting, and trade mispricing continue to threaten Nigeria’s fiscal stability, but assured that the new digital system will help close loopholes exploited by corporate entities to move funds out of the country illegally.
Adedeji also revealed that the FIRS is working closely with other government agencies to implement provisions of the Proceeds of Crime Act. He said a dedicated Proceeds of Crime Management Unit has been established to coordinate with law enforcement, the judiciary, the private sector, and international development partners to trace, recover, and manage illicit funds.
He added that the agency is reviewing international competition and trade agreements to ensure that no legal loopholes inadvertently allow profit shifting or tax avoidance by multinational corporations.
“Our response to this problem will be agile, intelligence-led, and globally coordinated. We are aligning our tax administration with present-day economic realities and will ensure that Nigeria is not left behind in the fight against illicit financial flows,” he said.
In her remarks, Minister of State for Finance, Dr. Doris Uzoka-Anite, also confirmed the move, saying the government is investing heavily in smart technology to detect and prevent illicit financial flows in real time. She said digitalization and intelligence gathering are central to the administration’s fiscal reforms.
“By investing in smart technology and real-time data exchange, we will be able to attract, detect, and prevent illicit funds from leaving the country. This is critical for protecting our national wealth and reducing over-dependence on debt,” she said.
The minister explained that the loss of billions of dollars annually through profit shifting and tax evasion is undermining Nigeria’s development goals, adding that real-time tracking will help close the in-between pipes of the national economy that allow illicit funds to escape.
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