President Bola Tinubu justified the removal of petrol subsidies in May 2023, stating that the decision was aimed at reallocating resources for critical infrastructure investments. Speaking at the 17th Annual Chartered Institute of Bankers of Nigeria (CIBN) Banking and Finance Conference in Abuja, Tinubu acknowledged the short-term pain caused by the subsidy removal but emphasized its necessity for long-term economic growth.
Represented by Vice President Kashim Shettima, Tinubu explained that the subsidy removal would help free up budgetary resources for essential projects in infrastructure and social services, while also addressing inflation and stabilizing the foreign exchange market. He noted that the challenges facing Nigeria, including high inflation and unemployment, present opportunities for growth and development.
The president reaffirmed his administration’s commitment to enhancing infrastructure, highlighting ongoing investments in roads, railways, and energy projects through public-private partnerships. Since the subsidy removal, petrol prices have surged from around N200 per litre to over N1,000, prompting criticism from many Nigerians who are grappling with a rising cost of living. Tinubu’s administration is focused on restoring confidence in the Nigerian economy and implementing strategies to ensure sustainable and inclusive growth.