Enugu’s IGR surges to N406bn in 2025 as state targets N870bn revenue in 2026

The Enugu State Government generated N406.77 billion in internally generated revenue (IGR) in 2025, a sharp rise from the N180.5 billion recorded in 2024, according to the Executive Chairman of the Enugu State Internal Revenue Service (ESIRS), Mr. Emmanuel Ekene Nnamani.

Briefing journalists on Sunday, Nnamani said the state achieved about 80 per cent of its N509.9 billion IGR target for the year, describing the performance as a significant milestone in Enugu’s drive for fiscal sustainability under Governor Peter Mbah.

He said the 2025 figure represents a 125 per cent growth compared to the previous year and a dramatic leap from N26.8 billion recorded in 2022 and N37.4 billion in 2023.

“Enugu State collected N406,774,321,758.87 out of the N509,947,000,000 projected in the 2025 Appropriation Law. This is an 80 per cent budget performance and a 125 per cent growth over the N180.5 billion generated in 2024,” Nnamani said.

He explained that Governor Mbah, shortly after assuming office, directed the revenue service to expand the state’s revenue base and reduce reliance on allocations from the Federation Account Allocation Committee (FAAC).

According to him, the governor mandated that salaries, pensions and overhead costs be funded from internally generated revenue, prompting the agency to intensify efforts beyond traditional tax sources.

Nnamani disclosed that non-tax revenue formed the bulk of the 2025 earnings, accounting for N355.2 billion or 87.4 per cent of the total, largely from the recovery and optimisation of previously dormant state assets. Tax revenue contributed N51.5 billion, representing 12.6 per cent.

He added that tax collection still grew significantly, rising by 72 per cent from N30 billion in 2024 to N51.5 billion in 2025, driven by improved compliance, technology deployment, and plugging of leakages.

Looking ahead, the ESIRS chairman revealed that the state has set an ambitious IGR target of N870 billion for 2026.

While noting that pro-citizen tax reforms may initially affect tax figures, he expressed optimism that improved compliance and continued economic activity would help the state exceed expectations.

Nnamani attributed rising compliance to visible infrastructure projects and governance reforms across the state, which he said have encouraged residents and businesses to willingly meet their tax obligations.