Wale Edun emphasized that the removal of subsidies has brought about a significant change, as individuals can no longer enrich themselves without adding value.
Abuja, Nigeria – Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has announced that the country has saved a staggering $20 billion by abolishing the petrol subsidy and adopting market-based foreign exchange pricing.
Edun made this disclosure at an event in Abuja marking the first 100 days in office of Esther Walson-Jack, Head of the Civil Service of the Federation. According to Edun, the subsidies on petrol and foreign exchange previously cost the country five percent of its GDP, which translates to $20 billion, assuming an average GDP of $400 billion.
These savings are now being redirected into developmental projects, including infrastructure, health, social services, and education. Edun emphasized that the removal of subsidies has brought about a significant change, as individuals can no longer enrich themselves without adding value.
President Bola Tinubu officially ended the petrol subsidy regime on May 29. However, the Nigerian National Petroleum Company (NNPC) Limited later disclosed that the federal government owed ₦7.8 trillion for under-recovery, contradicting earlier denials of any subsidy reintroduction.
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