Senator Sani Hails Subsidy Removal as Key to Nigeria’s Progress

The Chairman of the Senate Committee on Finance, Senator Sani Musa, has praised President Bola Tinubu’s economic reforms, particularly the floating of the naira and the removal of the fuel subsidy, calling them the best decisions for Nigeria.

Following his inauguration in May 2023, President Tinubu ended the long-standing fuel subsidy, which had cost the government billions of dollars annually. He also liberalized the naira currency in an effort to attract more investment into the country.

Government officials have argued that these reforms are essential to reviving Nigeria’s economy. While these steps have been welcomed by investors, many Nigerians are facing significant challenges, including skyrocketing fuel prices and inflation, which has now reached 25 percent. Despite this, Senator Musa, speaking on Channels Television’s Politics Today on Friday, stood by the removal of the fuel subsidy as a positive development for the country.

“We want to be sure that what we are doing is not going to reflect negatively on Nigerians,” Musa said. “But removing the subsidy is the best thing that has happened to this country.”

The senator, who represents Niger East in the National Assembly, argued that the Federation Account Allocation Committee (FAAC) allocates sufficient funds to states each month. However, he pointed to inefficiencies at the state level, saying that many state governments are not making good use of the funds they receive.

“If the money Nigeria is earning today and the funds FAAC distributes to the states are properly utilized, a lot of things will go well,” Musa said, emphasizing the need for better management of public resources by state governments.