Tinubu: Fuel Subsidy Removal Rescued Nigeria from Economic Collapse

Tinubu: Fuel Subsidy Removal Rescued Nigeria from Economic Collapse

President Bola Ahmed Tinubu has said that the removal of fuel subsidy by his administration saved Nigeria from imminent bankruptcy and laid the foundation for the gradual recovery of the nation’s economy.

The President stated this on Friday while hosting state governors who paid him a Sallah homage and joined him in marking the third anniversary of his administration in Lagos.

Among those present were the governors of Lagos, Nasarawa, Jigawa, Sokoto, Kebbi, Taraba, Niger, Ekiti, Delta, Ondo, Edo, Adamawa, Benue, Enugu, Ogun and Kogi, as well as the deputy governors of Borno and Kano.

President Tinubu acknowledged that the subsidy removal was a difficult decision that imposed short-term hardship on Nigerians but maintained that it was necessary to prevent fiscal collapse and restore economic stability.

According to him, successive governments spent huge resources on an unsustainable subsidy regime that benefited only a few while depriving critical sectors of much-needed investments.

“It was challenging at the time, but we survived. We faced litigation and accusations, yet we survived. Instead of bankruptcy, Nigeria survived. The economy has recovered, it is growing, and agriculture is booming,” the President said.

He noted that ongoing reforms in infrastructure, agriculture, social investment programmes, foreign exchange management and fiscal discipline were beginning to yield positive results and restore investor confidence.

The President also commended state governors for supporting the reform agenda and helping to build public trust during the difficult transition period.

“I’m glad governors are no longer borrowing from the Federal Government and asking for interventions to survive or pay salaries. You persuaded our people to remain patient through three years of painful reforms while we reset the economy. Today, the benefits are beginning to show,” he stated.

Tinubu expressed optimism that Nigeria would achieve food sovereignty through effective utilisation of agricultural land across the states, while assuring citizens that his administration would continue implementing policies aimed at reducing hardship, creating jobs and promoting inclusive economic growth.

Vice President Kashim Shettima praised the President’s courage in removing the fuel subsidy, describing the move as a bold decision that confronted long-standing distortions in the nation’s economy.

According to Shettima, President Tinubu chose to address difficult economic realities rather than postpone critical reforms, describing the process as part of a broader effort to rebuild the nation.

Speaking on behalf of the Nigeria Governors’ Forum, AbdulRahman AbdulRazaq said the reforms had significantly improved the financial position of states.

He noted that increased revenues accruing to subnational governments enabled them to clear salary arrears, settle pensions and invest in major infrastructure and social development projects.

“The nation was initially shocked by the audacity of the policy, but today it is benefiting immensely. Many states that relied on borrowing are now reducing their debt burden,” AbdulRazaq said.

Also speaking, Hope Uzodinma, Chairman of the Progressive Governors Forum, commended the President for stabilising the economy through what he described as bold and innovative reforms.

Uzodinma said governors across the country had witnessed the impact of the policies firsthand and expressed appreciation for the administration’s efforts to steer Nigeria away from economic collapse.

Earlier, Babajide Sanwo-Olu welcomed the governors to Lagos and thanked them for their continued support for the President, urging them to sustain the momentum in advancing national development.

Tinubu: Fuel Subsidy Removal Rescued Nigeria from Economic Collapse