NBS says VAT growth reached N2.06trn in Q2 2025 despite a slight dip, with key sectors driving stronger national revenue

The National Bureau of Statistics has reported that VAT growth reached a total of N2.06 trillion in the second quarter of 2025, although the figure reflects a marginal decline when compared with the previous quarter.

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In a statement released in Abuja on Tuesday, the bureau confirmed that the Q2 2025 aggregate VAT fell slightly by 0.03 per cent from the N2.06 trillion recorded in Q1 2025.

Despite the dip, the performance still underscores strong tax activity across key sectors.

According to the report, local VAT payments stood at N1.09 trillion, while foreign VAT payments contributed N459.95 billion.

Import VAT also maintained a steady flow with N508.55 billion recorded in the period under review.

The bureau noted that real estate activities posted an impressive surge of 155.21 per cent on a quarter-on-quarter basis.

Agriculture, forestry and fishing grew by 23.64 per cent, followed closely by information and communication at 17.75 per cent.

However, human health and social work activities suffered the steepest fall at minus 68.34 per cent. Electricity, gas and air conditioning supply also recorded a considerable decline of minus 45.20 per cent, while water supply and waste management dropped by minus 29.36 per cent.

Manufacturing remained the highest-contributing sector in Q2 2025 with 27.19 per cent. Information and communication contributed 20.76 per cent and mining and quarrying added 15.04 per cent.

Activities of households as employers again ranked the lowest with just 0.005 per cent.

On a year-on-year basis, VAT Growth strengthened significantly, rising by 32.15 per cent from Q2 2024, reflecting broader economic activity and improved compliance.

The bureau also provided a reminder of Q1 2025 performance, where VAT collections equally totalled N2.06 trillion, representing a 6.02 per cent rise from the N1.95 trillion recorded in Q4 2024.

Local payments amounted to N1.10 trillion, foreign VAT payments were N454.76 billion, while import VAT accounted for N507 billion.

Electricity, gas and air conditioning supply saw the most remarkable growth in Q1 at 136.71 per cent.

Administrative and support services expanded by 45.24 per cent and professional, scientific and technical activities grew by 39 per cent.

Manufacturing again dominated sector contributions in Q1, accounting for 26.03 per cent, followed by information and communication at 17.51 per cent, and mining and quarrying at 17.02 per cent.