Revenue Review: FG Moves to Raise Salaries of Tinubu, Shettima, Akpabio, Others Amid Worsening Poverty

The Federal Government is considering raising the salaries of President Bola Tinubu, Vice President Kashim Shettima, Senate President Godswill Akpabio, and other top political office holders, despite growing concerns over widespread poverty and economic hardship.

The Chairman of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), Mohammed Shehu, announced on Monday in Abuja that the current salaries of political leaders were “outdated, inadequate, and unrealistic,” having remained unchanged since 2008. Shehu disclosed that Tinubu currently earns N1.5 million monthly, while ministers earn less than N1 million, amounts he described as unfair when compared to salaries of heads of federal agencies who take home several times more. “You are paying the President of the Federal Republic of Nigeria N1.5m a month, with a population of over 200 million people. Everybody believes that it is a joke,” Shehu said. He added that ministers earning less than N1m since 2008 cannot be expected to give their best when agency heads and the Central Bank governor are paid many times more.

The proposal immediately drew criticism from the Nigeria Labour Congress (NLC), which accused the government of prioritising political elites over struggling citizens. A senior NLC official, who spoke on condition of anonymity, claimed that beyond the official salary, politicians enjoy hidden perks that inflate their total earnings. “The President’s salary may be N1.5m, but when allowances are added, the package can exceed N100m annually. These cover housing, medical care, security, travel, and more. If the government can publish salaries, it should also publish allowances. That is where the true burden lies,” the official said. Labour leaders described the proposed pay rise as insensitive at a time when Nigerians face high living costs. Despite inflation easing to 21.88% in July 2025, food inflation remains at 22.74% year-on-year, leaving millions unable to cope.

At the same briefing, Shehu also announced that the commission had begun reviewing Nigeria’s revenue-sharing formula, which has not changed since 1992. The current arrangement gives 52.68% to the Federal Government, 26.72% to states, and 20.60% to local governments, with 4.18% reserved for special funds. He said the review was necessary to reflect “emerging socio-economic realities,” stressing that states now bear heavier fiscal responsibilities under recent constitutional amendments. He promised that the exercise would be inclusive and transparent, with consultations involving the Presidency, National Assembly, governors, civil society, and the private sector.

Finance expert Professor Uche Uwaleke reacted by urging that any additional funds allocated to states should be ring-fenced for infrastructure and development projects. He argued that the horizontal allocation formula, which governs how funds are shared among states, should reward investments in health and education rather than relying heavily on population size. He also advised Nigeria to benchmark its revenue system against other federal systems such as Canada, Brazil, and India.

Critics warn that raising salaries for Tinubu, Shettima, Akpabio, and others could further deepen inequality in Nigeria, where lawmakers are already alleged to earn up to N30m monthly compared to the new minimum wage of N70,000. The NLC accused leaders of “living in luxury while millions sink deeper into poverty,” citing billions spent on foreign trips, medical care abroad, and inflated allowances. “Good leadership requires sensitivity to the people’s plight. If politicians continue to prioritise themselves over the nation, this country risks imploding,” the union warned.

As the RMAFC pushes ahead with its twin agenda of political salary review and revenue allocation reform, the debate underscores Nigeria’s deepening struggle to balance governance costs with the realities of mass poverty.