The federal government says efforts to mitigate the effects of fuel subsidy removal and ease the cost of living pressures on Nigerians remain firmly in place.
The government statement comes amidst a report yesterday indicating that fuel subsidy expenditure is projected to reach about N5.4 trillion in 2024, up from N3.6 trillion in 2023.
Tinubu’s spokesperson, Bayo Onanuga, disclosed this in a statement on Thursday, saying that there is no N5.4 trillion being provisioned for fuel subsidy in 2024, as has been widely speculated and discussed.
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“The attention of the Presidency has been drawn to two fiscal policy documents in circulation that are being given wide coverage by the mainstream media and social media platforms,” Onanuga said.
One of the documents, titled “Inflation Reduction and Price Stability (Fiscal Policy Measure, etc) Order 2024,” is being shared as if it were an executive order signed by President Bola Ahmed Tinubu.
The other is a 65-page draft document titled “Accelerated Stabilisation and Advancement Plan (ASAP),” which contains suggestions on how to improve the Nigerian economy. President Tinubu received a copy of the draft on Tuesday.
Onanuga, however, said none of the two documents is an approved official document of the Federal Government of Nigeria and urged the public to disregard the two documents and cease further discussions on them.
He disclosed that the documents are all policy proposals that are still subject to review at the highest level of government, noting that one has ‘draft’ clearly written on it.
The presidential spokesman also quoted the Coordinating Minister of the Economy, Wale Edun, saying, “It is important to understand that policymaking is an iterative process involving multiple drafts and discussions before any document is finalised.”
Edun, as quoted by Onanuga in the statement, assured the public that the official position on the documents will be made available after comprehensive reviews and approvals are completed.
Emanating from the two documents have been reports second-guessing the government’s policy on customs tariffs, fuel subsidies, and other economic matters.
Addressing these, Edun clarified that there has been no shift in the government’s policy on fuel subsidies since Tinubu’s announcement on May 29, 2023, noting that there is no N5.4 trillion being provisioned for it in 2024, as has been widely speculated and discussed.
Edun stated that Tinubu’s position on fuel subsidy has not changed and noted that the policy remains firmly in place.
Edun stated; “The government wants to restate that its position on fuel subsidy has not changed from what President Bola Ahmed Tinubu declared on 29 May 2023. The fuel subsidy regime has ended. There is no N5.4 trillion being provisioned for it in 2024, as being widely speculated and discussed,
“The Coordinating Minister of the Economy further clarified: “As previously stated by government officials, including myself, President Tinubu announced the end of the fuel subsidy program last year, and this policy remains firmly in place.
“The Federal Government is committed to mitigating the effects of this removal and easing the cost of living pressures on Nigerians.
“Our strategy focuses on addressing key factors such as food inflation, which is significantly impacted by transport costs. With the implementation of our CNG initiative, which aims to displace high PMS and AGO costs, we expect to further reduce these costs.
“Our commitment to ending unproductive subsidies is steadfast, as is our dedication to supporting our most vulnerable populations.”
