Nothing will happen, we r comfortable

You never wake up

Abubakar. You still dey sleep.

This man is now a wailer, ipob and obidient. He is from the SE precisely abia and Anambra.

The Illusion of Subsidy Transfers and the Real Needs of Nigeria

Former Nigerian Military Head of State, General Abdulsalami Abubakar, expressing deep concern over the worsening economic hardship in Nigeria, lamenting the struggles many face to afford basic necessities. His call is for the government to flood communities with affordable food rather than focusing on palliatives echoes a sentiment shared by many. Yet, this approach might not address the root causes of our economic malaise and could, in fact, distract from more effective solutions.

General Abubakar, as a former president, should understand that merely transferring subsidies from fuel to food is not the panacea for our economic woes. The reality is that Nigeria’s economic landscape requires a more nuanced approach to subsidy removal and fiscal policy than simply shifting the burden from one sector to another.

The Issue with Transferring Subsidies

The suggestion to transfer subsidies to food is a well-intentioned one but fundamentally flawed in addressing the immediate and pressing economic challenges. It’s critical to recognize that food subsidies alone will not resolve the systemic issues underlying Nigeria’s economic difficulties. Instead, this approach might only serve to provide temporary relief while ignoring the broader structural adjustments needed.

General Abubakar’s experience as a leader should inform a more strategic approach. While it is vital to address the cost of living, we must do so through comprehensive economic policies rather than quick fixes that may not yield sustainable results.

The Case for Gradual Reform

A more effective strategy could have been to gradually phase out oil subsidies while simultaneously implementing robust fiscal policies to mitigate the impact on the populace. For instance, incrementally increasing fuel prices, such as adding N200 every six months, would have allowed citizens to adjust to the changes over time. This phased approach would enable the government to monitor the effects and adjust policies as needed to protect the most vulnerable.

Instead the abrupt removal of subsidies combined with hasty and poorly planned initiatives, such as distributing tractors and pushing immediate farming, reflects a chaotic and misguided approach. Such policies, though well-meaning, are impractical and fail to address the immediate needs of Nigerians, especially those who are already struggling to make ends meet.

Addressing Vulnerabilities

The current administration’s approach raises serious concerns about its commitment to the welfare of Nigeria’s most vulnerable populations—pensioners, disabled individuals, the sick, and infants. By removing subsidies without providing adequate support, the government risks exacerbating their suffering. It is incumbent upon statesmen like General Abubakar to voice these concerns and advocate for policies that genuinely protect and support these groups.[/b]

[b]The Role of Statesmen

As influential figures, former leaders such as General Abubakar have a responsibility to provide guidance that goes beyond mere rhetoric. Instead of focusing on transferring subsidies, they should advocate for a balanced and phased approach to economic reforms. This would include a gradual removal of subsidies coupled with measures to cushion the impact on the vulnerable.



Nigeria’s economic challenges cannot be solved by superficial adjustments or by transferring one subsidy to another. We need a comprehensive, well-thought-out strategy that includes phased reforms, targeted support for the most vulnerable, and policies that address both immediate and long-term needs. The voices of our former leaders and statesmen should guide us toward effective solutions rather than temporary fixes that only serve to shift the burden without addressing the underlying issues.

The time for political games is over. It is time for practical solutions and genuine leadership that addresses the real needs of the Nigerian people.

DeLaRue:


By 'everything', I assume you mean fuel subsidy in particular.

Well, it can be done, but there will be severe economic consequences.

If the president announces that he is restoring full subsidy, the international institutions lending Nigeria money will stop doing so. Naira will immediately fall to around N2,000, and slowly move towards N2500 and beyond.

Any benefit people gain from the reintroduction of full subsidy will be lost as prices of everything imported will shoot up to unprecedented levels. Prices of locally produced goods will follow.

So, as you can see, reversing subsidy removal can be done. Nobody will stop Nigeria from doing it. But the pain thereafter will be worse than before. We should be prepared to buy a loaf of bread for N3000 or N4000. May be N5000 or N6,000. Not possible? Ask the people of Lebanon.

See Venezuela, Iran etc for developing countries that don't generate enough revenue but still refused to remove subsidy.

just open mouth dey talk make e be like say u pass ur waec......ur analysis is ..........

hisexcellency34:
A man that should be in jail

While you're meant to be in the ZOO

E don reach una side too

DeLaRue:


By 'everything', I assume you mean fuel subsidy in particular.

Well, it can be done, but there will be severe economic consequences.

If the president announces that he is restoring full subsidy, the international institutions lending Nigeria money will stop doing so. Naira will immediately fall to around N2,000, and slowly move towards N2500 and beyond.

Any benefit people gain from the reintroduction of full subsidy will be lost as prices of everything imported will shoot up to unprecedented levels. Prices of locally produced goods will follow.

So, as you can see, reversing subsidy removal can be done. Nobody will stop Nigeria from doing it. But the pain thereafter will be worse than before. We should be prepared to buy a loaf of bread for N3000 or N4000. May be N5000 or N6,000. Not possible? Ask the people of Lebanon.

See Venezuela, Iran etc for developing countries that don't generate enough revenue but still refused to remove subsidy.

What was Jonathan doing that kept the economy stable under his regime. The builder of Lagos is a dullard. Accept that fact.

No no no no why would you say hardship is much. This tinubu I know that is working very hard. Haba dis is the best administration so far. Can't you see we are buying fuel for 1naira.?

Give us military government, Nigeria politicians has failed and nothing in democracy anymore in nigeria.

DeLaRue:


By 'everything', I assume you mean fuel subsidy in particular.

Well, it can be done, but there will be severe economic consequences.

If the president announces that he is restoring full subsidy, the international institutions lending Nigeria money will stop doing so. Naira will immediately fall to around N2,000, and slowly move towards N2500 and beyond.

Any benefit people gain from the reintroduction of full subsidy will be lost as prices of everything imported will shoot up to unprecedented levels. Prices of locally produced goods will follow.

So, as you can see, reversing subsidy removal can be done. Nobody will stop Nigeria from doing it. But the pain thereafter will be worse than before. We should be prepared to buy a loaf of bread for N3000 or N4000. May be N5000 or N6,000. Not possible? Ask the people of Lebanon.

See Venezuela, Iran etc for developing countries that don't generate enough revenue but still refused to remove subsidy.

Oga when there was still subsidy, how much is a loaf of bread vs now that the subsidy has been removed and how much is naira then and now??

Nairaland economist.

Atimes, I just wonder how much you guys are been paid to justify ugly and terrible situation the masses are facing everyday in this country.

MadPolitician:


The North has Bola Tinubu where they want him. The north basically herded him into an ditch. Since his ego won't allow him to get serious minds to help him out of there, he will continue to fumble untill the whole thing blows up in his face. That may happen quicker than later, because they people will not keep quiet and die atbhomes deu to poverty.

The north never supported tinubu put of love, or any "southern turn" nonsense. Actually what happened was that the North having been in governance for a very long time, knew that Nigeria was facing a huge economic mess post subsidies. Theyare also aware that subsidy removal was the only way out, since earnings were almost being used tonpay off debts.

What you expected tinubu to do was to phase in changes little by little, with programs to cushion the effects. But no. He basically doubled the pains by removing subsidies, deregulating the exchange rate, increasing tariffs, jacking up school fees and even VATs, all at the same time. He overloaded the system. That's sheer administrative madness.

Tinubu is building a new Nigeria na. He wants to demonish the existing Nigeria and build one from afresh like he built lagos. 😂 😂 😂

Guestlander:
Palliatives are not the way to go but suggested "the government should provide affordable food options by buying and selling essential items at lower prices."

And what exactly do you call that?

It's obvious we have been ruled by many dullards in the past.
Smh.

ojun50:
He supported this government

Jaj Jay Okocha did. Kanu Nwankwo did. So did Taribo West, Amokachi and Victor Ikpeba.

The earlier you realize that Nigeria problem is spiritual, the better for you. Seriously pastor adeboye is one of our major problem in Nigeria. After drinking tea with his god, he forgot to tell his god the problems of Nigeria.

EreluRoz:
A secret meeting was held in Minna. I eavesdropped on the gist from someone hmmm

Abeg give me the full update I am interested in it

Maybe this is part of the resultions reached there

May Almighty God punish Obasanjo where he is, if not he came to meet u people in Niger State, u people wouldn't have say anything, thunder fire una there.

You're part of the problem of Nigeria...

IBB= Evil genius for a reason…

DeLaRue:
We know what would happen to food prices as soon as the federal government starts buying up foods on a massive scale from those producing the foods. Prices will shoot up. Especially, when part of the problem is that there is not enough being produced due to security and other factors.

Add government bureaucracy and corruption, prices will end up being higher than it is now. So, we would be back to square one.

Also, any suggestion that a government in a democratic setting can buy and sell food to tens of millions of people is laughable. Who will buy on behalf of the government and sell to people. Civil servants? What a joke. And who will be in charge of the hundreds of billions that would be deployed? Political appointees? What an even bigger joke.

The only countries that can successfully carry out such a huge undertaking are North Korea, China, Cuba, and may be Russia. And that's because in these countries, they don't need any court to tell them to shoot you if you are corrupt. They can do it on the spot.

In Nigeria, the scheme will turn out to be the biggest corruption fest since Lord Lugard first stepped foot here

It is easy to proffer solutions, but most solutions cant survive the practical realities of Nigeria.

Wow!
I didn’t see it from this angle before, but you made a very valid point.
OMG! Political appointees 😆!
Those ones are the biggest thieves in the country.

Mr Peace ,can you control peace when hunger take over Nigeria?why can't you advise Tinubu to reduce the pump price, your saying reducing food price is the best solution

Abdulsalami Abubakar must be an obedient according to agbadorians

DeLaRue:


By 'everything', I assume you mean fuel subsidy in particular.

Well, it can be done, but there will be severe economic consequences.

If the president announces that he is restoring full subsidy, the international institutions lending Nigeria money will stop doing so. Naira will immediately fall to around N2,000, and slowly move towards N2500 and beyond.

Any benefit people gain from the reintroduction of full subsidy will be lost as prices of everything imported will shoot up to unprecedented levels. Prices of locally produced goods will follow.

So, as you can see, reversing subsidy removal can be done. Nobody will stop Nigeria from doing it. But the pain thereafter will be worse than before. We should be prepared to buy a loaf of bread for N3000 or N4000. May be N5000 or N6,000. Not possible? Ask the people of Lebanon.

See Venezuela, Iran etc for developing countries that don't generate enough revenue but still refused to remove subsidy.

How do you compare Nigeria with countries that are under multiple economic sanctions??

Fuel can still be subsidized. The FG can actually use one stone to kill 2 birds by pegging the fx rate at which NNPC and Dangote deals. They can pay Dangote the short fall. In the long run I am guessing that it will eventually start improving our fx rates and at the same time.

I am saying because it is a fact that our energy consumption is directly proportional to our fx rates, because of the massive fuel imports we've had in the past years.

You won't see Devil.. equal on this thread . Not even hell fire linus speak here . Maybe they are rehearsing what to say .

Abdusalami is IPOB , OBIDIENT NOW

Hopespeaks:
Tinubu should please reverse everything.

Abdulsalam can as well drop 20% of his loot during his time as Head of state especially the depletion of our foreign reserve to fund and host 1999 Junior World Cup.

MASTAkiLLAh:
I think rice should be shared across all states, at least two bags per local government

they should give him 1 trailer of rice.

I see no meaning when a northern person talk about hardship in Nigeria

eBOLA is all shades of disasters💯💯
The dingBAT has only come to STEAL, KILL AND DESTROY 💯💯💯

DeLaRue:
We know what would happen to food prices as soon as the federal government starts buying up foods on a massive scale from those producing the foods. Prices will shoot up. Especially, when part of the problem is that there is not enough being produced due to security and other factors.

Add government bureaucracy and corruption, prices will end up being higher than it is now. So, we would be back to square one.

Also, any suggestion that a government in a democratic setting can buy and sell food to tens of millions of people is laughable. Who will buy on behalf of the government and sell to people. Civil servants? What a joke. And who will be in charge of the hundreds of billions that would be deployed? Political appointees? What an even bigger joke.

The only countries that can successfully carry out such a huge undertaking are North Korea, China, Cuba, and may be Russia. And that's because in these countries, they don't need any court to tell them to shoot you if you are corrupt. They can do it on the spot.

In Nigeria, the scheme will turn out to be the biggest corruption fest since Lord Lugard first stepped foot here

It is easy to proffer solutions, but most solutions cant survive the practical realities of Nigeria.

The only countries that can successfully carry out such a huge undertaking are North Korea, China, Cuba, and may be Russia. And that's because in these countries, they don't need any court to tell them to shoot you if you are corrupt. They can do it on the spot.

I love this!

Nigeria is a very rich and blessed country. We just have wrong leaders, wrong policies.

It's a shame that we can't get our refineries to work.

It's wrong to keep selling our crude oil in dollars. Naira will continue to go down with this policy in place.

It's a shame we still import try circles and many other things we can produce to boost our economy.

It's a shame