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Akinwande Soji-Ojo
President Bola Tinubu has said that his administration’s removal of the fuel subsidy was in the best interest of Nigeria, adding that it was necessary not to plunge the country into bankruptcy.
Tinubu stated this during a panel session at the ongoing World Economic Forum in Riyadh, Saudi Arabia, on Sunday, which focuses on Global Collaboration, Growth and Energy for Development.
He stressed the country’s belief in economic collaboration and inclusiveness with other nations to drive stability on the global stage.
“For Nigeria, we are immensely consistent with belief that the economic collaboration and inclusiveness are necessary to engender stability in the rest of the world.
“Concerning the question of the subsidy removal, there is no doubt that it was a necessary action for my country not to go bankrupt, to reset the economy and pathway to growth,” he said.
Recall that Tinubu had during his inauguration on May 29, 2023 declared to the citizens his resolve to stop the payment of the fuel subsidy, saying “subsidy is gone.”
The subsidy, which the Federal Government used to help the citizens ameliorate the payment for fuel purchases at higher prices, later became a sort of nightmare for the populace as it had partly contributed to the exorbitant prices of commodities in the market, especially food items, transportation costs, among others.
However, Tinubu noted that the fuel subsidy removal brought about accountability, transparency and physical discipline for the country.
Speaking on the exchange rate unification and the swinging rate of the Naira against global currencies like the United States dollar, Tinubu said: “The currency management was necessary equally to remove the artificial elements of value in our currency. Let our local currency find its level and compete with the rest of the world currency and remove arbitrage, corruption and opaqueness.
“That we did at the same time. That is a two-engine problem in a very template situation for the government, but we are able to manage that turbulence because we are prepared for inclusivity in governance and rapid communication with the public to really see what is necessary and what you must do.”