No Return To Fuel Subsidy Or Multiple Exchange Rates, Oyedele Declares
By OBIOMA TORI
NIGERIA’S Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has ruled out a return to fuel subsidies and multiple foreign exchange rates, insisting that the government will maintain its economic reform policies.
Oyedele made the declaration on Saturday on the sidelines of the World Bank and International Monetary Fund meetings in Bangkok, Thailand. His comments come as economic policies and the rising cost of living feature prominently in debates ahead of the 2027 general elections.
The Federal Government has defended fuel subsidy removal and foreign exchange market liberalisation as necessary measures to address structural problems in the economy. However, many Nigerians continue to face pressure from high petrol prices, transportation costs and inflation.
Meanwhile, opposition politicians have proposed alternative subsidy arrangements, making the future of the policy an increasingly prominent political issue.
Responding to questions from investors, credit-rating agencies and international financial institutions, Oyedele insisted that the administration would not reverse course. He also distinguished a recent 30-day petrol retail margin discount announced by the Nigerian National Petroleum Company Limited (NNPC) from a government-funded subsidy.
According to the minister, the temporary measure is a commercial decision intended to reduce retail margins and provide some relief to consumers. He said it does not involve the government paying fuel subsidies from public funds.
Nevertheless, the distinction comes amid continuing public debate over whether temporary price interventions can ease the burden on consumers without reversing the broader reforms.
While the government maintains that the policies are important for fiscal stability, their impact on household budgets remains a major concern. The challenge for policymakers is therefore to sustain their stated reform objectives while addressing the cost-of-living pressures confronting Nigerians.
