By The Corporate Accountability and Public Participation Africa (CAPPA) has praised the Senate for passing a bill seeking to reform Nigeria’s tax regime on sugar-sweetened beverages (SSBs), describing the development as a major step toward addressing the country’s growing public health challenges.
The bill proposes replacing the existing ₦10-per-litre excise duty on sugary drinks with a percentage-based levy linked to retail prices. It also seeks to dedicate part of the revenue generated from the tax to health promotion and disease prevention programmes.
In a statement issued on Wednesday June 3, 2026, CAPPA’s Executive Director, Akinbode Oluwafemi, described the Senate’s action as a courageous decision that reflects growing concern over the burden of non-communicable diseases in the country.
“By passing this bill, the Senate has demonstrated responsiveness to the growing public health crisis facing the country. We now urge the National Assembly to expedite the remaining legislative processes to ensure that the reviewed bill becomes law without delay.” Oluwafemi said.
The organisation also lauded the sponsor of the bill, Senator Ipalibo Banigo, for championing public health reforms. CAPPA noted that Banigo recently played a key role in the passage of the National Health Act Amendment Bill, which increased funding allocations to the Basic Health Care Provision Fund from one per cent to two per cent of the Consolidated Revenue Fund.
According to CAPPA, dedicating part of the proposed SSB tax revenue to healthcare initiatives would provide additional resources needed to strengthen public health interventions and improve health outcomes across the country.
The advocacy group expressed concern over the increasing prevalence of non-communicable diseases such as diabetes, hypertension, cardiovascular diseases, obesity and dental conditions. It cited health data indicating that nearly one-third of deaths in Nigeria are linked to such diseases, while more than 11 million Nigerians are currently living with diabetes.
CAPPA argued that the widespread consumption of sugar-sweetened beverages, particularly among young people, is contributing significantly to the health crisis. The organisation maintained that the current tax structure has failed to discourage excessive consumption because manufacturers can absorb the cost without significantly increasing retail prices.
“A percentage-based levy ensures that the tax remains impactful over time, discourages excessive sugar intake, and better protects public health.” the organisation stated.
The group said the proposed shift to an ad valorem tax system aligns with recommendations by the World Health Organization (WHO), which advocates health taxes that substantially increase retail prices to reduce consumption of unhealthy products.
CAPPA also welcomed provisions in the bill that would earmark a portion of tax proceeds for health-related programmes. However, it stressed the need for transparency and accountability in managing the funds, calling for clear reporting mechanisms and public oversight.
The organisation urged the House of Representatives to quickly consider and approve the legislation so it can be transmitted to President for assent.
“Nigeria cannot afford to delay,” Oluwafemi said.
CAPPA said a stronger tax framework for sugary drinks, coupled with dedicated investment in healthcare programmes, would help reduce disease rates, improve public health outcomes and secure a healthier future for Nigerians.
