FG tells Nigerians to endure pain and suffering caused by subsidy removal
The Federal Government has appealed to Nigerians to endure the hardship and suffering caused by the removal of subsidy on petrol, saying it is a necessary step to reposition the economy and improve the standard of living.
The Secretary to the Government of the Federation, George Akume, made the appeal on Monday when he received a delegation of the North Central People’s Forum led by Senator Jeremiah Useni in Abuja.
Akume said President Bola Tinubu meant well for the country and had taken bold measures that showed he was serious about making Nigeria work.
He assured Nigerians that the government would not disappoint them and urged them to correct the government when it goes wrong.
He said: “This government will not disappoint Nigerians. The President means well but we can go wrong. When we go wrong, correct us.
“President Tinubu so far has taken bold measures which have impacted the national economy and sent positive signals to policymakers, local and international, that the government means business.
“I urge Nigerians to bear the pains of the removal of subsidy on petrol and its negative impact on the cost of living. I want to assure you that after the pain there will be a significant improvement in living standards generally.”
The World Bank has also called on the Federal Government to use part of the savings from subsidy removal to lessen the suffering of Nigerians, especially the poor and vulnerable.
The bank said in its latest Nigeria Development Update that an additional 7.1 million Nigerians would be pushed into poverty without measures to compensate for the negative impact of subsidy removal.
The bank noted that the removal of petrol subsidy and foreign exchange management reforms were crucial measures to begin to rebuild fiscal space and restore macroeconomic stability.
It advised the government to implement a comprehensive reform package encompassing a range of complementary measures, including a new social compact, to protect the poor and most vulnerable, and to maximize the collective impact on growth, job creation, and poverty reduction.
The government is projected to achieve fiscal savings of approximately N2 trillion in 2023, equivalent to 0.9% of GDP, from subsidy removal. These savings are expected to reach over N11 trillion by the end of 2025.
