NRS Flags Rising Illicit Capital Outflows, Recovers N80bn

By Arinze Nwafor
April 30, 2026

The Nigeria Revenue Service (NRS) has raised concerns over the growing rate of illicit capital outflows from the country, revealing that it has successfully recovered more than N80 billion connected to illegal financial movements over the last few years.

The disclosure was made during a sensitisation programme organised for corporate organisations in Lagos, where the agency stressed the urgent need to curb the continuous loss of funds leaving the country through unlawful channels.

Speaking at the event, the Head of Anti-Graft and Law Enforcement Liaison at the NRS, Idris Abdullahi, explained that much of the recovered amount came through voluntary compliance by affected individuals and companies after receiving notices from the agency. He noted that several taxpayers chose to settle outstanding obligations before enforcement actions commenced.

Abdullahi also highlighted the importance of the Voluntary Offshore Assets Regularisation Scheme (VOARS), a policy designed to encourage Nigerians with undeclared offshore assets to come forward, regularise their status, and avoid possible prosecution.

According to the NRS official, illicit capital outflows remain one of the major threats to Nigeria’s economic stability, depriving the nation of resources needed for infrastructure development, job creation, and public services.

He further noted that Nigeria contributes a significant portion of the estimated $88.6 billion lost annually from Africa through illicit financial flows. These outflows, he said, are often facilitated through false invoicing, tax evasion, profit shifting, shell companies, and the use of professional intermediaries.

Abdullahi called on private sector operators, financial institutions, and professional bodies to move beyond passive compliance and actively support efforts aimed at blocking illegal financial leakages.

Also speaking at the programme, the Director-General of the Manufacturers Association of Nigeria (MAN), Segun Ajayi-Kadir, warned that illicit capital flight negatively affects local industries by weakening investments, increasing pressure on foreign exchange, and raising production costs.

He added that funds lost through such illegal practices could have been channelled into critical sectors such as roads, electricity, ports, healthcare, and industrial parks.

The NRS reaffirmed its commitment to strengthening enforcement, improving tax compliance, and collaborating with relevant stakeholders to protect Nigeria’s economy from further financial losses.