Abuja: The Minister of the Federal Capital Territory (FCT), Mr. Nyesom Wike, has identified affluent residents of Abuja as the primary challenge to voluntary tax compliance, hindering development efforts in the region. Wike made these remarks during the inauguration of the newly constructed Collector Road CN2 (Zakari A. Kyari Street) in Abuja, an event officiated by President Bola Tinubu to mark his second year in office.
According to News Agency of Nigeria, the road, extending from Arterial Road N11 (Ahmadu Bello Way) in Mabushi to Katampe District and leading to Judges Quarters and other connecting roads, was a project executed by the FCT Administration. The minister highlighted that wealthy residents of the FCT are reluctant to pay their taxes locally, despite willingly paying taxes and ground rent in foreign countries like the United States and the United Kingdom.
Wike pointed out that the CN2 road and other infrastructure projects in the Katampe District were financed through taxes and ground rents paid by conscientious residents. He emphasized that infrastructure development is heavily dependent on these contributions, as the FCT receives only a small fraction of federal funds.
The minister elaborated that the FCT’s share from the Federation Account is merely one percent of what is allotted to the Federal Government each month. He illustrated that if the federal government earns N800 billion monthly, the FCT’s share would be N8 billion, which is insufficient to cover the territory’s salary obligations of at least N13 billion due to the minimum wage increase.
Wike called on President Tinubu, represented by Deputy Speaker of the House of Representatives, Mr. Benjamin Kalu, to encourage FCT residents to fulfill their tax obligations. He warned that residents who fail to pay their ground rent would have their names published as defaulters.
He underscored that those who own land and build houses in affluent areas like Katampe and Mabushi are typically wealthy individuals, who should therefore contribute to the territory’s development through taxes. Wike stressed the importance of these contributions for delivering essential infrastructure and services.
Earlier, Mr. Richard Dauda, acting Executive Secretary of the Federal Capital Development Authority, mentioned that the project was executed by CGC and initiated in October 2024. He described the CN2 road as a dual carriageway with two lanes in each direction, while other roads in the project are single carriageways. These road projects aim to enhance infrastructure and stimulate development in the Katampe District.
The News Agency of Nigeria reports that following the inauguration, Wike inspected the Judges Quarters under construction in Katampe and the N5 Road (Obafemi Awolowo Way) from Life Camp to Ring Road III, which is set for inauguration on Friday.