Nigeria's N2 Trillion Health Crisis Sparks Calls for Higher Sugary Drink Taxes

Nigeria is facing a growing health crisis as spending on preventable diseases hits N1.92 trillion each year. Experts warn that rising rates of diabetes, stroke, and obesity—linked to sugary drinks—are creating a 'ticking public health time bomb'. Now, calls are growing for stronger taxes on these beverages to fund healthcare and reduce consumption. Akinbode Oluwafemi, Executive Director of the Corporate Accountability and Public Participation Africa (CAPPA), has urged President Bola Ahmed Tinubu to raise the Sugar-Sweetened Beverage (SSB) tax. Currently set at just N10 per litre—only 1% of the average retail price—Oluwafemi proposes increasing it to at least N130 per litre, in line with World Health Organization (WHO) guidelines.

A higher tax could unlock over N200 billion annually in missed revenue. These funds, according to CAPPA, should support healthcare financing and social programmes. The group also demands mandatory front-of-pack labelling on sugary drinks, annual public reporting by tax agencies, and protections against corporate influence in health policies. Experts argue that a stronger SSB tax is one of the fairest and most cost-effective ways to tackle Nigeria’s health challenges. With preventable diseases costing the country nearly N2 trillion yearly, the push for reform is gaining urgency.

The proposed tax hike aims to cut sugary drink consumption while generating much-needed funds for public health. If implemented, the changes could ease financial pressure on Nigeria’s healthcare system. CAPPA insists transparency and strict enforcement will be key to success.