Highlighting the resurgence of fuel subsidy in Nigeria, former President Chief Olusegun Obasanjo attributed the re-introduction to inflation, following its removal in June 2023 under President Bola Tinubu’s administration.
In a recent interview with the Financial Times, Obasanjo criticized the way Tinubu’s government eliminated fuel subsidies, emphasizing the necessity of implementing prior measures before their removal.
Expressing his viewpoint, Obasanjo emphasized the importance of thorough planning before such policy changes, stating, “There’s a lot of work that needs to be done, not just waking up one morning and announcing the subsidy’s removal. Due to inflation, the removed subsidy has resurfaced.”
Advocating the need for investor confidence in Nigeria, Obasanjo stressed the transition from a transactional economy to a transformational one, underscoring the significance of sustainable economic growth.
As hunger protests continue in Nigeria, entering their fifth day with a primary demand for the reinstatement of fuel subsidies, President Tinubu, in a Sunday address, urged protesters to halt demonstrations, citing the necessity of removing the subsidy that had hindered the nation’s economic progress.
Against this backdrop, recent statistics from the National Bureau of Statistics revealed a record high core inflation rate of 34.19% and 40.87% in June 2024.