We ended petrol subsidy to save Nigeria from bankruptcy

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President Bola Tinubu acknowledged on Sunday that ending petroleum subsidywas a tough decision but was necessary to save Nigeria from bankruptcy.

Speaking at the opening plenary of the Special World Economic Forum in Riyadh, the capital of Saudi Arabia, he affirmed that the majority of the citizens were expected to feel the impact of the action, but the government had also provided measures to alleviate the hardship.

In response to a question, he said, “Together, I know it is not easy for Nigeria. We are immensely consistent with the belief that economic collaboration and inclusiveness are necessary to gain stability in the rest of the world.

“Concerning the question of the subsidy removal, there is no doubt that it was a necessary action for my country not to go bankrupt and to reset the economy and the pathway to growth.

“It was going to be difficult, but the hallmark of leadership is making difficult decisions. At this time, it ought to be taken decisively. That was necessary for the country. Yes, there have been drawbacks. Yes, there was the expectation that the difficulty would be felt by a greater number of people.

“But, of course, I believed it was their interest that was the focus of government. It is easier to manage and explain the difficulties. But along the line, there was a parallel arrangement to cushion the effect of the subsidy removal on the vulnerable population of the country.

“We shared the pain across the board. We cannot but include those who are very vulnerable.”

President Tinubu expressed delight that Nigeria is blessed with a vibrant youth population intent on taking their destiny in their hands through education and technology.

He said the government had been able to demonstrate transparency in the management of the nation’s affairs, stressing its commitment to remain focused on the direction it is going.

Tinubu stated, “Luckily, we have a very vibrant youthful population interested in discoveries by themselves, highly ready for technology, good education, and committed to growth.

“We were able to manage that and partition the economic drawback and the fallout of the subsidy removal equally, engendering transparency, accountability, and physical discipline for the country.

“And that, to me, is more important than focusing on what direction we should go. I will pursue that rigorously. Currency management was necessary, equally to remove the artificial element of value in our currency.

“Hence, our local currency finds its level, competes with the rest of the world’s currencies, and removes arbitrage corruption and opaqueness. That, we did.

“At the same time, that is a two-engine problem in a very turbulent situation for the government. But we are able to manage that turbulence because we prepared for inclusivity in governance and rapid communication with the public to really see what is necessary and what you must do.”

The president noted that forums such as this are valuable for sharing experiences but called for talks to be backed by actions.

Continuing, President Tinubu observed: “To this forum, it is equally valuable for us to share experiences and share the hope of the future. What is missing, and I am glad the Kingdom (of Saudi Arabia) relies on the wind of the words ‘collaboration’ and ‘inclusiveness.’

“The capital formation that is necessary to drive the economy, like agriculture, food security, innovation, and technological advancement, must be an inclusive programme for the entire world. No one should be left behind.

“The fear of a lack of capital in Africa is stigmatised. And I am glad the world is recognising the need that the type of population growth that Africa experienced and the diversity of its resources must be married with economic opportunity.

We must collaborate to do that. And that is what we are doing so far.

“We are encouraging the entire world to pay attention to the Sahel and the other countries around us. As the chairman of the ECOWAS, I have wielded the big influence of Nigeria to discourage unconstitutional change of government. That is, stabilise.

“Equally, we have eased the sanctions. We need to trade with one another, not fight each other. It is very, very necessary and compulsory for us to engender growth, stability, and economic prosperity for our people.

“The rest of the world needs to look at the fundamentals of the problem—not just ordinary geopolitically, but it has to go to the root.

“Has the world paid attention to the poverty level of Sahel and the rest of ECOWAS? Have they helped with the infusion of capital and paid adequate attention to the exploitation and opportunities availed by the mineral resources available?

“Are we going to play a big brother’s role in a talk shop without necessary action? We just have to be involved in the exploitation, promotion, and prosperity of that region in order to see peace, stability, and economic growth.”

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