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CSOs, others blame fuel subsidy for Nigeria’s economic woes

CSOs, others blame fuel subsidy for Nigeria’s economic woes

CSOs, others blame fuel subsidy for Nigeria’s economic woes


The fuel subsidy regime is partly responsible for Nigeria’s economic woes, civil society organizations and professionals from different parts of the country have said.

According to a statement after a “National Town Hall Meeting on Abolition of Oil Subsidy” in Abuja, yesterday, the group alleged that the fuel subsidy, which has been in place for decades, has lacked transparency and accountability.

The development, they observed, cost the federal government N250 billion monthly.

The statement, signed by the national chairman of the group, Isah Abubakar; The secretary, Joe Moses and two other officials noted that the meeting, which held on Sunday, noted that the scrapping of the fuel subsidy regime as planned will facilitate the implementation of the 2022 national budget of N17.13 trillion .

It claimed that the subsidy scheme led to false claims being paid.

“The town hall meeting observed that the monthly payment of over N250 billion has seriously damaged the economy for decades.

“It would continue to degenerate the nation’s income until the economy is irrevocably damaged,” it said.

CSOs claimed that the subsidy was responsible for fuel smuggling across borders.

They called on the Federal Government to ensure the maintenance and rehabilitation of the country’s refineries to meet local fuel consumption in the country.

On the palliative announced by the government to cushion the effect of the proposed removal of the subsidy, the group tasked the Federal Government to ensure payment to the citizens while urging the Nigeria Labor Congress (NLC) not to initiate industrial action over the matter but to allow dialogue.

“The Federal Government’s planned palliative for citizens in the event that the fuel subsidy regime is completely scrapped is a noble idea as it would alleviate the hardships caused by the removal.”