The federal government has officially announced the termination of fuel and foreign exchange subsidies, marking the end of a long-debated policy.

Minister of Finance and Coordinating Minister of the Economy, Wale Edun, made this declaration during the presentation of the Nigeria Development Update by the World Bank in Abuja on Thursday, October 17.

Edun revealed that these subsidies had drained the country’s economy, costing over N10 trillion, which amounts to five percent of Nigeria’s Gross Domestic Product (GDP).

“Fuel and FX subsidy are extinguished,” Edun said, as he emphasized the financial strain these policies had imposed on the nation.

The minister also announced a new government plan aimed at addressing unemployment, with a focus on housing finance.

This initiative, he explained, would feature a mortgage scheme offering near single-digit interest rates.

The government expects this approach to boost construction activities and generate significant job creation.

“The plan will be anchored around mortgage and housing financing,” Edun stated.

At the same event, the Governor of the Central Bank of Nigeria (CBN), Mr. Olayemi Cardoso, explained the rationale behind the recent half-percent interest rate hike.

He disclosed that the Monetary Policy Committee (MPC) had anticipated the latest inflation trends, which drove their decision to increase the rate.

“Policies and decisions will be based on evidence and data going forward,” Cardoso affirmed, underscoring the CBN’s commitment to data-driven policy formulation.

Bauchi State Governor, Bala Mohammed, also participated in the discussion. He expressed concern over the insufficient funds allocated to state governments through the Federation Account Allocation Committee (FAAC).

“The money coming from FAAC every month is not enough for state governments to provide infrastructure,” he lamented.

Mohammed criticized federal policies, noting that they had reduced the purchasing power of Nigerians. “These policies are not working,” he declared, pointing to the hardship being felt by the masses.

Regarding the implementation of the new N70,000 minimum wage, Governor Mohammed acknowledged the challenges states face.

“Some states can afford N70,000, some cannot. We in Bauchi State are paying the old minimum wage religiously. We’re looking at paying the new minimum wage as soon as possible,” he added.

He voiced concerns that while states are loyal to the wage law, the ability to fund essential infrastructure after meeting the new wage obligation remains a serious challenge. “We are about to be lynched,” he said, noting the pressure on state governments.

From the private sector, Amal Hassan, CEO of Outsource Global Limited, urged the federal government to create a more attractive environment for investors.

“The government must de-risk the economy to make it easy for investors to come in,” she said, adding that despite Nigeria’s negative global image, the country’s talent pool continues to attract attention from international businesses.

World Bank Senior Vice President and Chief Economist, Indermit Gill, wrapped up the discussion by calling on Nigeria’s economic units, Monetary, Fiscal, and other units, to collaborate more effectively.

He emphasised the need for unified efforts to drive economic reforms and growth.

https://thenationonlineng.net/fg-declares-end-of-fuel-fx-subsidies/

How prepared are we for Fx subsidy removal as a country, in the midst of the biting hardship and inflation

How many times?

Awesome!!!

It is almost running to 2 years, yet I've not seen any benefits of this oil subsidy removal. If there's any, someone should tell me pls.

Coneheads have nothing intelligent to offer
From one experiment to another

House way na rich people go still hijack
Lol.. one man go collect like 500 houses first

Omo eh make una do wetin Dey una mind jare

Good news. Let the palliative announcement come next

Story from the gods

Whao! So the knee-jerky and itchy "subsidy is gone" of Tinubu like Buhari have been the biggest political scam and fraud ever visited upon this nation.

Reaffirming the utter cluelessness and incompetency of the kinds of leadership this nation is suffering from time immemorial. Meanwhile, their deathbed mummified zombies will simply cheer on while they are just playing with their shitty brains.

This is a welcome development.

Emesi:
How prepared are we for Fx subsidy removal as a country, in the midst of the biting hardship and inflation

Fuel subsidy removal IS NOT the cause of the current hardship faced by Nigerians. Rather, the corruption and incompetence of your Kakistocrats in government remain the reason why Nigerians were plunged into severe hardship. Ordinarily, the removal of fuel subsidies would free up money for Nigeria to do so many other better things for the Nigerian people and the economy as a whole ... but because of the criminals in office, even removing subsidies will likely not change anything. The black hole that is corruption, which the current administration is unwilling to tackle, will more than ensure this.

While you are at it. Read up on how during the Obasanjo years, devaluation and fuel subsidy removal were handled. You will be amassed at how this all would have world well if subsequent administrations had simply sustained the reforms already implemented during the Obasanjo years. https://www.imf.org/external/pubs/ft/scr/2005/cr05433.pdf

Racoon:
Whao! So the knee-jerky and itchy "subsidy is gone" of Tinubu like Buhari have been the biggest political scam and fraud ever visited upon this nation.

Reaffirming the utter cluelessness and incompetency of the kinds of leadership this nation is suffering from time immemorial. Meanwhile, their deathbed mummified zombies will simply cheer on while they are just playing with their shitty brains.

Na true, in relation back to when your papa was a MiLAD also abi?

Pahahhaahhaa

Zoooooooooooooooo


Helinues clap zah masters have spoken

EhWhoBeThat:
Pahahhaahhaa

Zoooooooooooooooo


Helinues clap zah masters have spoken

And u slaves in the open zoo have acknowledged?

Why did emilikon cap the other time that fuel subsidy is gone. Well guys make una long dollar or any foreign currency, naira is about to fall like quick sand.

The announcement was not made in Nigeria hence the delayed reaction

blacknp:
And u slaves in the open zoo have acknowledged?

Lol another potential allah infested terrorist

I hear say one of Una love-vendor for 72 ashawo was beep beep boom toady 😂


My question is how Yoruba take commot from Yoruba come begin speak arabic for school?

EhWhoBeThat:


Lol another potential allah infested terrorist

I hear say one of Una love-vendor for 72 ashawo was beep beep boom toady 😂


My question is how Yoruba take commot from Yoruba come begin speak arabic for school?

Incoherent confused Eyepobian, rejected Jewish slave, exiled to Eastern Nigeria.

blacknp:
Incoherent confused Eyepobian, rejected Jewish slave, exiled to Eastern Nigeria.

This document below say na lie


Show me afonj!a own

😂😂😂😂


Bloody confused Yoruba !

All the best to Mr. President and the finance minister.

What is the cause of subsidy payment to oil marketers in the first place?Is it not the failure of government to build and renovate the existing refineries that is causing fuel importation?
Dangote who built a private refinery to help stop importation of petroleum products so that all the costs that are associated in the importation of petroleum products like landing costs, demurrage, foreign exchange,taxes and even corruption,will stop.
Tinubu doesn't want Dangote to operate freely because he also owns a private refinery abroad.What a shame to a man who claims to be a reformist.

Edun revealed that these subsidies had drained the country’s economy, costing over N10 trillion, which amounts to five percent of Nigeria’s Gross Domestic Product (GDP).

“Fuel and FX subsidy are extinguished,” Edun said, as he emphasized the financial strain these policies had imposed on the nation.

You can see how shallow Tinubu and some of his ministers are in the way they are managing the economy .... You removed subsidy because of over N10 trillion cost only to incure massive losses of over N30 trillion within one year.... Does this make sense?

According to Edun, subsidy had to be removed due to N10 trillion cost but since it was removed, Nigeria has lost more than N30 trillion as result of astronomical drop in direct foreign investments, job losses, massive drop in production and massive drop in GDP....

Nigeria remains an import dependent economy that lacks the critical infrastructure to encourage local production, CBN sustaining this policy of free floating the Naira currency is a recipe for disaster. What this means is that due to "market forces", the naira can crash to N5000 to $1 at anytime with no measures put in place to cushion it's effects on the economy.

Nigeria's fragile economy can not withstand sudden and random increases in the value of the Naira and energy costs, it cannot continue to absorb the incessant increases in fuel price with a resultant increase in unemployment as more businesses shutdown, prices of food continue to rise and insecurity spreads. It is glaring that these cruel policies will further destroy Nigeria's economy on the long run as Tinubu has demonstrated on several occasions that he does not care about the well-being of Nigerians. If he cared, deliberate effort should've been made to cut the cost of his government and fix one national refinery to further reduce the pressure on the Naira....

Nigerians need to take responsibility for the sorry state of the economy and massively protest the anti-people policies implemented by this callous government. If Tinubu and his government can not provide solutions to the incessant fuel price increases and the terrible state of Nigeria's economy, let him resign or be impeached to save the nation from impending doom.....

Every four months they have been removed subsidy but nobody knows how much was the Subsidy before removal or how much was removed from subsidy or how much was saved, except the usual rhetorics of lies and propaganda clueless abysmal failures are known for

Kobojunkie:
Fuel subsidy removal IS NOT the cause of the current hardship faced by Nigerians. Rather, the corruption and incompetence of your Kakistocrats in government remain the reason why Nigerians were plunged into severe hardship. Ordinarily, the removal of fuel subsidies would free up money for Nigeria to do so many other better things for the Nigerian people and the economy as a whole ... but because of the criminals in office, even removing subsidies will likely not change anything. The black hole that is corruption, which the current administration is unwilling to tackle, will more than ensure this.

While you are at it. Read up on how during the Obasanjo years, devaluation and fuel subsidy removal were handled. You will be amassed at how this all would have world well if subsequent administrations had simply sustained the reforms already implemented during the Obasanjo years. https://www.imf.org/external/pubs/ft/scr/2005/cr05433.pdf

Turns out you're not so smart after all

NewDea4:
■ Turns out you're not so smart after all

If smart means running around with my head buried in the sand all while believing the lies and propaganda spewed by the very same stealing kakistocrats who have nothing but looting for all the years spent in office, then I absolutely don't want any of it.

Tinubu has nothing to offer, his administration is cursed.

Thought it was removed immediately president Tinubu became a CnC

richiemcgold:
It is almost running to 2 years, yet I've not seen any benefits of this oil subsidy removal. If there's any, someone should tell me pls.

What benefits you want see again, fuel whey we dey buy for 1,000+ no be benefits abhi.