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From Uchenna Inya, Abakaliki
Ebonyi State has recorded a significant increase in its Internally Generated Revenue (IGR).
The state Commissioner for Finance and Economic Development, Professor Leonard Uguru, disclosed this to journalists in Abakaliki, the state capital, at the weekend.
Uguru said the IGR of the state jumped to N2.1bn last month, the highest since the inception of the present administration in 2023.
The commissioner said the government generated enough resources last year to take care of its 2025 budget.
“I cannot say for sure exactly now at hand how much we generated last year. What we know is that we generated enough last year that was able to take care of our budget to 31st December, 2025.
“We have started again this year and I am just returning from FAAC Abuja which is one of the aspects of revenue streams.
“On IGR, we are doing well now because since we came on board in June 2023, we have never reached N2 billion monthly IGR.
“But last month, being December 2025, we were able to get over N2 billion, exactly N2.1 billion, and we hope it will be increasing like that because we have different strategies on ground to ensure that we improve in IGR,” he stated.
On the Federal Government’s new tax regime, Uguru urged the people of the state not to panic and described the tax reform as very flexible.
He announced that the ministry will organise an awareness exercise to sensitise the people on the tax reform.
He assured that the new federal tax reform will ease the burden on low-income earners while placing more responsibility on the wealthy, and further described the policy as people-centred and progressive.
Uguru explained that under the new tax regime, individuals earning below N1.2 million annually are exempted from Pay-As-You-Earn (PAYE) tax, stressing that the reform is designed to protect the common man.
“The new tax reform is so flexible that even if you are not earning up to N1.2 million annually, you are exempted from tax. The tax is more on those who have much. The rich will pay more tax than the poor,” he said.
Uguru noted that while the reform may initially reduce states’ income from personal income tax, it would ultimately benefit citizens and be balanced through other revenue sources such as Value Added Tax (VAT) and electronic money transfer levies.
He also attributed Ebonyi’s strong showing in financial transparency to robust institutional processes, following the state’s achievement of a 100 per cent score in the 2025 Budget Fiscal Transparency League.
“Everything approved by the government is captured in the budget, and whatever the government does is published on the state’s website. Whether you are in Lagos or California, you can see what is happening in Ebonyi as far as financial management is concerned,” he said.
Uguru emphasised that prudent financial management has enabled the state to deliver visible infrastructure despite receiving one of the lowest allocations from the Federation Account.
He added that since May 29, 2023, the state has not borrowed any funds until provisions were made in the 2026 budget for a loan targeted at economic development.
The proposed borrowing, he explained, is intended for the establishment of a cement factory to create jobs and generate revenue. He dismissed fears surrounding the plan, arguing that government involvement is necessary given the huge capital required for such projects.
Addressing concerns about multiple taxation and revenue leakages, the commissioner acknowledged that while no system is perfect, the government is committed to blocking identified loopholes and ensuring fair taxation to attract investors.
“We are relaxing some tax rules so that investors will not run away. Ebonyi is still a young state that needs investors to grow,” he said.
