Governor Dauda Lawal of Zamfara State has expressed concerns that certain financially weaker states may struggle to survive if the proposed tax reform bills currently before the National Assembly are passed and signed into law by President Bola Tinubu.

Speaking during an interview on Channels Television’s Politics Today on Tuesday, Lawal stressed the need for careful deliberation to avoid long-term adverse effects.

“Some states may not be able to survive, so it is something that must be carefully studied so that we don’t hurt ourselves in the long run,” the governor said.

While acknowledging that tax reforms are necessary, he noted that the process should be gradual and inclusive. “Reform in a system is inevitable, and we should always expect reforms. However, in trying to do that, we also need to be careful not to be in a hurry to do something that will later hurt us.”

The proposed tax bills have generated widespread controversy and opposition, including from the 36 state governors under the National Economic Council (NEC) and the 19 northern governors, who have unequivocally rejected certain sections of the reforms.

Governor Lawal highlighted the financial strain the reforms could impose, particularly on states struggling to meet salary obligations.

“There is a component of it that talks about derivation and, definitely, if we are to go by it, it is going to affect some of the states in terms of what kind of inflows they have. Invariably, it may make it difficult for some states to be able to pay their salaries,” he said.

He also cited the difficulty states might face in implementing the proposed N70,000 minimum wage under the new tax regime. “The tax issue has a lot of components – there is the good aspect and there is the bad aspect. So, we are studying the situation to advise our people on the way forward,” he added.

Governor Lawal emphasized the importance of continued engagement and collaboration among stakeholders to develop a balanced approach that ensures financial stability for all states while advancing the nation’s economic goals.