In a significant call for fiscal reform, the International Monetary Fund (IMF) has urged Nigeria to expand its tax revenue base, curb tax evasion, and deepen regional trade in order to secure long-term economic stability. This comes as countries like Nigeria continue to grapple with the realities of declining global oil prices and an urgent need for economic diversification—an issue that also closely impacts the real estate market, proptech news, and broader real estate investments in Nigeria and other regions.

Speaking at a news conference during the 2025 IMF Spring Meeting in Washington, D.C., IMF Managing Director Kristalina Georgieva emphasized the critical need for African economies, particularly oil exporters like Nigeria, to prioritize domestic revenue mobilization and leverage technology-driven solutions.

The Urgency to Broaden Nigeria’s Tax Base

According to Georgieva, Nigeria must urgently expand its tax net—not just for immediate fiscal relief but to lay the foundation for sustainable economic growth. She said,

“Countries like Nigeria must broaden their tax revenue base. It is essential not just for short-term budget support, but for building long-term economic resilience.”

For sectors such as real estate investments in Lagos, Abuja, Port Harcourt, Enugu, Owerri, Ibadan, Uyo, and Asaba, a stronger tax infrastructure could mean greater transparency, enhanced investor confidence, and a better environment for real estate developments.

Leveraging Technology to Drive Revenue

Georgieva highlighted the role of technology in streamlining tax administration and closing public finance leakages.

“Technology offers tremendous opportunities to strengthen revenue collection. When deployed effectively, it can reduce leakages, increase efficiency, and promote fairness,” she stated.

With the rise of proptech innovations, particularly in the real estate investments sector in Nigeria and across global hubs like Dubai, the USA, the UK, and Canada, digital adoption is not only transforming how properties are bought and sold but also how taxes and regulatory compliance can be managed more efficiently.

Homegrown Monetary Policies for Economic Strength

In addressing monetary policy, Georgieva advised African central banks to develop strategies that fit their unique economic realities rather than copying foreign models.

“We are no more in a place where you can look at the book of the Central Bank of the neighboring country and say, ‘Oh, they are doing this, I will do the same.’ You have to really assess domestic resource mobilisation, your inflationary pressures, and do the right thing for your country,” she warned.

This advice rings especially true for the real estate markets in Nigeria, where inflation and currency fluctuations directly impact property prices, rental yields, and returns on real estate investments.

The Push for Transparency and Good Governance

The IMF leader stressed that transparency, fighting corruption, and sound economic governance are crucial. These efforts are equally important for real estate investments in Nigeria’s leading cities like Lagos and Abuja, where both foreign and local investors demand transparent transactions and clear regulatory frameworks.

Deepening Regional Trade and Infrastructure Development

Kristalina Georgieva also made a strong case for enhancing intra-African trade. Drawing comparisons with the success of the Association of Southeast Asian Nations (ASEAN), she said that African nations must work together to build regional supply chains and improve shared infrastructure.

“Sometimes there are infrastructure obstacles. The World Bank is working on reducing those infrastructure bottlenecks that impede growth and trade. If Africa can remove these hurdles, it can unlock massive economic opportunities,” she noted.

This call is especially relevant for developers and investors exploring real estate investments across Nigeria and the wider African continent. Improvements in infrastructure could drastically enhance the attractiveness of secondary cities like Uyo, Asaba, Owerri, and Enugu for property development.

Africa’s Economic Potential: A Bright Outlook

Despite current challenges, Georgieva expressed optimism about Africa’s prospects, citing the continent’s vast mineral wealth, natural resources, and growing youthful population.

“Africa has so much to offer the world. The continent’s youthful energy, combined with innovation and sound policy, can drive transformative growth,” she said.

With sectors like real estate, technology, and trade poised for expansion, cities like Lagos, Abuja, and Port Harcourt are increasingly positioned as emerging hotspots for real estate investments, attracting attention from both local entrepreneurs and global investors focused on real estate investments in Dubai, the USA, the UK, and Canada.

Building Economic Buffers to Withstand Global Shocks

Georgieva specifically encouraged Nigeria, Egypt, Ghana, and Côte d’Ivoire to build strong economic buffers. These financial cushions are vital for insulating against shocks like global recessions or commodity price collapses, which in turn stabilizes real estate markets and encourages long-term real estate investments.

She concluded by emphasizing the indirect but serious impact that global tariffs could have on African economies, reminding stakeholders across industries—including real estate—that resilience is key.

Key Takeaways

• The IMF calls on Nigeria to expand its tax base and curb tax evasion to strengthen economic stability.

• Technology and digital solutions must be leveraged to enhance tax administration and public finance transparency.

• African nations, including Nigeria, are encouraged to develop customized monetary policies based on domestic realities.

• Deepening regional trade and overcoming infrastructure challenges are vital for unlocking Africa’s economic potential.

• Transparency, good governance, and sound fiscal management are critical to fostering confidence in Nigeria’s real estate markets.

• Building strong economic buffers will protect investments in Nigeria, including real estate developments in key cities like Lagos, Abuja, and Port Harcourt.