The Nigerian government announced on Tuesday a new mandatory levy on any organization employing expatriates.
Foreign companies will now be required to pay US $15,000 (N24,459,900) for expatriate citizens serving as directors and US $10,000 (N16,306,600) for other categories of workers. The levy applies to employees who work for at least 183 days in a year.
Organizations or individuals failing to comply with the scheme face fines or jail terms of up to five years. The staff of diplomatic missions and government officials are exempt.
The move was intended to increase employment opportunities for Nigerians, President Bola Tinubu explained.
“The goal is to close wage gaps between expatriates and the Nigerian labour force while increasing employment opportunities for qualified Nigerians in foreign companies in the country,” the President said.
There are more than 150,000 expatriates in Nigeria, according to local media, citing data from the interior ministry.
They mostly work in the oil and gas, construction, telecommunication, and hospitality sectors.
—Ezinwanne Onwuka reports for TruthNigeria from Abuja.
