TINUBU INSISTS: FUEL SUBSIDY REMOVAL SAVED NIGERIA FROM BANKRUPTCY
President Bola Tinubu has said the removal of fuel subsidy and artificial currency management were necessary actions for the country to escape bankruptcy, reset the economy and create pathway to growth.
Tinubu made this assertion as he participated in the ongoing World Economic Forum in Riyadh, Saudi Arabia. He defended the decision to remove fuel subsidy, stating that it was necessary to reset the economy and pave the way for growth.
The decision to remove the subsidy was announced by President Tinubu on the day of his inauguration, with his famous “subsidy is gone” speech. Although the removal led to a significant increase in commodity prices, Tinubu insisted it was a crucial step to prevent Nigeria from bankruptcy.
He acknowledged the difficulties associated with the decision, especially as it affected the populace accustomed to purchasing petrol at cheaper rates for years. However, he emphasized that the decision was taken in the best interest of the people.
Tinubu highlighted the government’s efforts to mitigate the impact of the subsidy removal on vulnerable populations. He also emphasized the importance of accountability, transparency, and fiscal discipline that the removal engendered.
While Tinubu defended the removal of petrol subsidy, there were reactions from various quarters. Critics argued that the decision was made without considering the hardship it would create for the masses. Some pointed out that government expenses should have been cut instead.
image:Techeconomy
Tinubu’s administration also implemented the exchange rate unification policy, which he defended during the World Economic Forum. He explained that this was necessary to allow the Naira to compete favorably with other world currencies and to remove artificial elements of value.
The World Economic Forum meeting in Riyadh focuses on Global Collaboration, Growth, and Energy for Development.
