Tinubu’s reforms will alleviate economic hardship — Tuggar

As Nigerians grapple with the severe impact of various reforms causing widespread hardship, the Minister of Foreign Affairs, Ambassador Yusuf Maitama Tuggar, has urged the public to exercise patience with the ruling All Progressives Congress (APC) and President Bola Ahmed Tinubu.

Speaking to journalists at his Tuggar Foundation office in Bauchi on Saturday, he emphasized that the current economic challenges are not unique to Nigeria, highlighting that similar issues are occurring globally.

Maitama Tuggar attributed Nigeria’s economic struggles to previous policies and external factors inherited by the current administration.

He traced the roots of these difficulties back to the 2008 global financial crisis, which was followed by several calamities, including the COVID-19 pandemic, that severely disrupted trade, movement, and livelihoods worldwide.

He noted, “The coronavirus pandemic closed borders, halted the movement of goods and services, and many people lost their lives, which affected the cost of living globally, including in Nigeria.”

The Minister explained that these disruptions led to increased prices and highlighted that Nigeria’s economy has suffered from a lack of investment in expanding its refinery capacities to meet the growing demand for petrol.

Maitama Tuggar discussed the implications of Nigeria’s reliance on petrol imports, pointing out that despite having four refineries, the country has failed to upgrade their capacities to match the needs of a population of over 220 million.

He stressed that the decision to import more petrol coincided with rising global prices, further complicating the economic landscape.

Additionally, the Minister addressed the challenges posed by the exchange rate, which he said has been affected by subsidy policies that favored consumption rather than production.

He explained that the previous system resulted in significant financial losses as the country relied on hard currency to subsidize petroleum imports.

In light of these issues, he praised President Tinubu’s macroeconomic reforms initiated in May 2023, aimed at eliminating the subsidies on petrol imports and reforming the exchange rate system to prevent arbitrary practices.

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The Minister noted that these reforms are crucial for stabilizing the economy and reducing the ongoing hardship.

He also raised concerns about cryptocurrency trading that undermined the economic system, revealing that some traders were using cryptocurrencies to launder money and evade regulations.

This prompted the administration to arrest individuals involved in such activities.

To mitigate the hardships faced by citizens, the government has been distributing palliatives and providing agricultural support, including fertilizers and seeds, to promote food security.

Maitama Tuggar concluded by urging Nigerians to remain patient, assuring them that while the current reforms are challenging, there is hope for a brighter future ahead.

He emphasized that the administration is committed to navigating through these difficult times and fostering a more stable economic environment for all Nigerians.