FG Rules Out Return of Fuel Subsidy, Says Market Pricing Will Continue

FG Rules Out Return of Fuel Subsidy, Says Market Pricing Will Continue

Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has reiterated that the Federal Government has no plans to reintroduce fuel subsidy, stressing that ongoing economic reforms are anchored on market-based pricing and fiscal discipline.

Oyedele made the statement in Paris, France, on Tuesday during a high-level investors’ meeting attended by President Bola Tinubu, where Nigeria’s economic reform programme and investment opportunities were presented to global financial stakeholders.

He explained that the government also has no intention of introducing price controls on petroleum products, insisting that such policies would distort the economy and undermine efforts to stabilise the downstream oil sector.

The minister said the removal of fuel subsidy remains a key component of Nigeria’s broader fiscal reforms, designed to reduce inefficiencies, improve public spending, and redirect resources toward critical infrastructure and social development.

He noted that recent public debates over rising fuel prices, partly influenced by global geopolitical tensions involving the United States, Israel, and Iran, have renewed calls for subsidy reinstatement, but maintained that the policy direction remains unchanged.

Oyedele added that the current global energy landscape presents opportunities for Nigeria, as many countries seek to diversify energy supply sources and invest in alternative markets amid shifting geopolitical conditions.

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He further highlighted Nigeria’s economic performance under the Tinubu administration, stating that the country recorded strong growth in dollar terms in 2025, which supports its ambition of building a $1 trillion economy by 2030.

According to him, the government is focused on ensuring that reforms translate into real improvements in citizens’ welfare, including job creation, improved infrastructure, and stronger investor confidence.

Oyedele also disclosed plans for the regular publication of financial and economic data on a quarterly basis to enhance transparency and accountability in public finance management.

Speaking at the same event, President Bola Tinubu said his administration’s reform agenda is aimed at achieving macroeconomic stability, inclusive growth, and long-term economic resilience.

He explained that ongoing policy measures are designed to eliminate structural inefficiencies, strengthen fiscal credibility, and create a more stable environment for investment and economic expansion.

Tinubu also reaffirmed his commitment to transparency in the oil and gas sector, alongside a comprehensive security strategy that includes decentralised policing and efforts to disrupt terrorist financing networks.

He added that policy consistency and disciplined execution remain central to ensuring that economic reforms deliver tangible benefits to Nigerians.

The Presidency confirmed that the investor engagement attracted representatives from major global financial institutions, including Citibank, Amundi, BlueCrest, Ninety One, Kirkoswald Capital, Principal Finisterre, Prudential Global Investment Management, and Mesarete Capital.

Several investors reportedly commended Nigeria’s reform direction and expressed optimism about the country’s medium- to long-term economic outlook, particularly in energy, infrastructure, and financial services sectors.

FG Rules Out Return of Fuel Subsidy, Says Market Pricing Will Continue