The Federal Inland Revenue Service (FIRS) has signed a landmark cooperation agreement with France to modernize Nigeria’s tax administration through digital transformation, workforce development, and enhanced cross-border enforcement. The pact comes just weeks before the formal transition of FIRS into the Nigeria Revenue Service (NRS) in January 2026.
FIRS Chairman Zacch Adedeji and French Ambassador to Nigeria Marc Fonbaustier signed the memorandum of understanding (MoU) at the French Embassy in Abuja, formalizing collaboration with France’s Direction Générale des Finances Publiques (DGFiP), one of Europe’s most technologically advanced tax authorities.
Adedeji described the partnership as a step toward building “stronger, more resilient, and forward-looking” tax systems at a time when global public finance is being reshaped by technology, artificial intelligence, and cross-border digital commerce. Digital transformation was highlighted as a central pillar of the pact, with Nigeria set to benefit from France’s experience in automated compliance systems, data-driven audits, and taxpayer service platforms.
“This two-way exchange is essential as both countries adapt to emerging challenges such as AI deployment, cybersecurity, and cross-border taxation,” Adedeji said. He added that France could benefit from Nigeria’s rapidly expanding digital economy, youthful tech-savvy population, and innovative solutions emerging from Africa’s largest market.
Workforce development is another key area of collaboration. Adedeji stated that Nigeria hopes to adopt France’s structured human capital systems, professional standards, and culture of continuous learning, while offering DGFiP insights into managing a young, diverse, and dynamic workforce.
The MoU also covers cooperation on international taxation, exchange of information, transfer pricing, and addressing Base Erosion and Profit Shifting (BEPS), a growing concern for governments as businesses increasingly operate across borders.
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| L-R: Chairman, Federal Inland Revenue Service, Dr Zacch Adedeji, French Ambassador to Nigeria, Marc Fonbaustier, during the signing ceremony. | Credit: FIRS |
Nigeria has struggled with low tax-to-GDP ratios over the past decade, averaging 6 to 10 percent—well below the African average of 15 percent. The government is banking on unified tax administration, stronger international cooperation, and improved digital systems to boost revenue without imposing new taxes. The ongoing Tax Act reforms aim to expand the tax base, simplify compliance, improve transparency, and align Nigeria’s tax laws with global standards, particularly in the context of the digital economy and cross-border business.
“France is a global leader in digital tax reforms, and this partnership will serve as a cornerstone of Nigeria’s transition into a modern, trusted, and globally connected revenue service,” Adedeji said.
The MoU signals a significant step toward establishing a technology-driven revenue administration capable of keeping pace with global taxation trends as Nigeria prepares for the NRS era.