President Bola Tinubu has staunchly defended his administration’s decision to remove petrol subsidy, stating that it was essential to prevent Nigeria from facing bankruptcy.
Tinubu made the announcement about the subsidy removal on the day of his inauguration with his famous “subsidy is gone” speech. However, this move led to a significant increase in commodity prices, causing widespread hardship and drawing criticism from his opponents, who argue that the policy was not well-thought-out.
Speaking as a panelist at the ongoing World Economic Forum in Riyadh, Saudi Arabia, Tinubu justified the subsidy removal, asserting that it was necessary to reset Nigeria’s economy and pave the way for growth.
He acknowledged the difficulties associated with this decision, particularly the impact it had on Nigerians who had been accustomed to purchasing petrol at subsidized rates for years.
However, he emphasized that he was convinced it was in the best interest of the people.
Tinubu highlighted that leadership often requires making difficult decisions decisively and at the right time. He assured that his government had put in place measures to mitigate the impact of the subsidy removal on the most vulnerable populations.
Additionally, he praised Nigeria’s vibrant and technology-driven youth population, stating that they are essential for the country’s growth and development.
The President emphasized that removing the petrol subsidy also promoted accountability, transparency, and fiscal discipline in the country. He argued that it was crucial to focus on the country’s direction rather than clinging to unsustainable policies.
Furthermore, Tinubu defended another critical policy implemented by his administration, which was the exchange rate unification.
He explained that managing the nation’s currency was necessary to enable the Naira to compete favorably with other world currencies and to eliminate arbitrage, corruption, and opacity.
Despite acknowledging that these policy changes created turbulence, Tinubu stressed that his government was prepared for inclusive governance and rapid communication with the public to address necessary reforms.
The World Economic Forum meeting, where Tinubu made these remarks, focused on Global Collaboration, Growth, and Energy for Development.
