FGN Revs UP Economic Growth VREG, Says Policy to Curb Revenue Leakages

Oru Leonard 

The Federal Government of Nigeria has disclosed that the National Vehicle Registry (VREG), Policy is an innovative solution that will rev up economic growth, plug revenue leakages associated with vehicle importation and improve operational efficiency in motor vehicle administration across the country.

This centralized database of all vehicles in Nigeria aims to improve operational efficiency in motor vehicle administration, facilitate global trade, and enhance crime fighting capabilities

The Honourable Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, made the disclosure in Lagos on Friday while delivering a keynote address at a sensitisation seminar on VREG.

The seminar, which focused on VREG, was attended by decision-makers, vehicle users, law enforcement agencies, and other stakeholders from Lagos, as well as heads of agencies from Ondo and Ekiti states

HM Edun explained that the policy would also offer stakeholders benefits such as improved access to credit, easier vehicle trade, better vehicle lifecycle management, and enhanced insurance coverage.

Represented by the Ministry’s Head of Public-Private Partnership (PPP), Hajia Jumai Katagum, the Minister called for stakeholder collaboration to optimise and achieve the objectives of VREG.

He stressed the need for integration among key stakeholders while explaining ongoing efforts to close existing gaps in vehicle administration.

The minister noted that VREG addresses the challenges caused by Nigeria’s status as the largest importer of vehicles in Africa, with over 15 million operational vehicles.

Edun explained further that issues like customs duty evasion, inadequate data for vehicular policy, revenue leakages, vehicle theft, and ineffective vehicle insurance coverage were tackled through VREG.

Also speaking, the Executive Governor of Lagos State Babajide Sanwo-Olu
commended the Federal Government under the leadership of President Bola Ahmed Tinubu for bringing stakeholders together to enhance understanding of VREG.

The governor, who was represented by Oluwaseun Osiyemi, State Commissioner for Transport, noted that VREG would provide all levels of government with an accurate database for real-time vehicle assessment and crime prevention

Sanwo-Olu added, *We are confident that with continued support, VREG will revolutionise vehicle management across the country, driving economic growth and development.*

The Comptroller General of Customs, Adewale Adeniyi, represented by Deputy Controller of Customs, Rahmon Akintola, also highlighted the potential for enhanced customs operations through collaboration with other stakeholders.

Alhaji Yusuf Othman, National President of the Nigerian Association of Road Transport Owners (NARTO), noted that the association, which controls 90 per cent of vehicles used for cargo transportation, is a key stakeholder in national revenue collection.

Othman, represented by a member of the association, Mr Stephen Okafor, appealed for the implementation of VREG at no cost to transporters.

Mr Emenike Nwokeoji, President of the Association of Nigeria Customs Licensed Agents, pledged the association’s support for VREG’s success, saying, *no imported vehicle in the country is beyond traceability*

During a presentation titled, *Optimising Nigeria’s Vehicular Ecosystem for National Economic Development,* Mr Dennis Obeto, Managing Director of Fourcore Technology Solutions Ltd., stressed the need to make Nigeria’s motor vehicle ecosystem safer and more efficient.

Obeto, a private sector collaborator on the VREG project, explained more on the platform’s functionality and its role in transforming the vehicular ecosystem.

Recall that the Federal Ministry of Finance launched the VREG policy in 2021 to enhance revenue generation within the motor vehicle administration ecosystem.

The National Vehicle Registry (VREG) is a centralised database of all vehicles in Nigeria, using the unique Vehicle Identification Numbers (VIN) to store detailed information on vehicles.

The VREG is connected to multiple global VIN databases, and the network interconnectivity with Nigeria helps facilitate global trade and crime fighting, amongst others.

As Nigeria continues to navigate its economic growth, the National Vehicle Registry policy is a significant step towards transforming the vehicular ecosystem, promoting
economic development, and ensuring a safer and more efficient transportation sector.

Cover Photo Caption: Middle Right: Hon. Seun Osiyemi, Honourable Commissioner of Transportation, Lagos State, Hajiya Jumai Katagom, Head PPP Unit, Federal Ministry of Finance, Abuja and others in a group photography at the South West Zonal sensitization seminar on National Vehicle Registry (VREG) held today in Lagos.

(FMOF Press)