THE Minister of the Federal Capital Territory (FCT), Nyesom Wike, has announced that the FCT Administration would soon announce an increase in ground rent rates for property owners in the nation’s capital.
Addressing journalists on Wednesday after inspecting ongoing infrastructure projects in Abuja, Wike described the refusal of residents and institutions to pay ground rent as the biggest challenge facing his administration.
He lamented that despite the high demand for improved public infrastructure, many residents continued to evade their financial obligations to the government.
“My greatest challenge is the refusal of people to pay what they owe,” Wike said.
“People want facilities, they want infrastructure, but nobody asks where the funds come from. Abuja is not an oil-producing city; we rely solely on taxes,” he added.
The minister revealed that some defaulters owed as much as 20 years’ worth of ground rent, even though rates have not been increased for several years.
He criticised what he called a culture of entitlement and non-compliance, particularly among elites who, he noted, were quick to obey tax laws abroad but ignored them in Nigeria.
“It is unfortunate that many elites own houses overseas. They understand the consequences of not paying taxes abroad — such properties can be forfeited. Yet, when it comes to their own country, they refuse to comply simply because they believe there are no sanctions.
“Look at the arrears — 20, 30 years. And how much is it? We have not increased the ground rent, but we are working towards that, and I can assure you we will do so. The president has granted a two-week waiver. Let no one think that blackmail or intimidation will deter us; we will do what is necessary,” he vowed.
The ICIR reported on Monday, May 26, that the FCT Administration began sealing off buildings whose owners failed to pay the ground rent.
Among those affected were high-profile institutions such as the National Secretariat of the Peoples Democratic Party (PDP), the National Agency for the Prohibition of Trafficking in Persons (NAPTIP), the Federal Inland Revenue Service (FIRS), a branch of Access Bank, and a TotalEnergies filling station.
The move sparked backlash from some quarters, with both the PDP and the FIRS condemning the Wike-led administration’s action as undemocratic.
Responding to the controversy, President Bola Tinubu intervened, issuing a 14-day ultimatum for all affected parties to settle their outstanding debts.
The directive also includes payment of penalties ranging between ₦2 million and ₦3 million, depending on the property’s location within the FCT.
Wike, however, remained resolute on Wednesday. “Let no one think that blackmail or intimidation will deter us; we will do what is necessary,” he said, reaffirming his commitment to enforcing the law regardless of status or affiliation.
The minister also disclosed that he had recently signed over 1,500 certificates of occupancy and deeds of assignment, stressing the need for residents to play their part in the city’s development. “If you pay your taxes, you will see the difference it makes. That is what we are striving to achieve,” he stated.