Again, Tinubu Defends Petrol Subsidy Removal, Launches CNG Priced at N230 per Litre
- President Tinubu has again defended the removal of the fuel subsidy, describing it as a necessary step to free up budgetary resources
- Tinubu noted that the funds available will now be used for infrastructure and social services and will be beneficial in the long run
- Filling stations are currently selling petrol between N800 and above N1,000 per litre across the country
Legit.ng journalist Dave Ibemere has over a decade of business journalism experience with in-depth knowledge of the Nigerian economy, stocks, and general market trends.
President Bola Tinubu has affirmed that removing petrol subsidies is necessary for Nigeria's long-term growth and development.
He made this statement while speaking at the 17th Annual Chartered Institute of Bankers of Nigeria (CIBN) Banking and Finance Conference on Tuesday, September 11, 2024.
Source: Getty Images
In his address, Tinubu outlined the federal government’s strategy to restore confidence in Nigeria’s economy through targeted reforms.
These include reducing inflation, stabilising the foreign exchange market, and improving fiscal management.
He highlighted that removing the subsidy is crucial to freeing up budgetary resources for essential investments.
President Tinubu, who was represented at the event by Vice President Kashim Shettima, emphasised that the subsidy removal decision is aimed at redirecting funds into critical infrastructure and social services, ThisDay reports.
His words:
““Though painful in the short term, the removal of fuel subsidies is designed to free up budgetary resources for critical investments in infrastructure and social services, frequent adjustment of the monetary policy rate, a move aimed at curbing inflation and fostering a more market-oriented exchange rate system.”
On the way forward, Tinubu called for collaboration across all sectors, including the government, private industry, and civil society organisations.
“The government is committed to implementing reforms to enhance macroeconomic stability, reduce inflation, and support infrastructure development”.
CNG fuel priced at N230
Earlier, Legit.ng reported that President Bola Tinubu launched Compressed natural gas (CNG) for vehicles at N230 per litre.
This initiative is designed to provide Nigerians with a more affordable and sustainable alternative to petrol and diesel.
A plan is also to distribute one million free CNG conversion kits for commercial vehicles over the next 18 months.
The president believes the initiative will support a transition to CNG through authorised centres.
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Source: Legit.ng
