How Nigerians Are Benefitting from Reallocated Subsidy Funds, Tinubu Speaks
- President Bola Tinubu highlights key roles his administration played in reinvesting funds saved from fuel subsidy removal into critical infrastructure projects and targeted economic reforms.
- The President, represented by Vice President Kashim Shettima, stated this during the opening of the National Conference on Public Accounts and Fiscal Governance on Monday, July 7
- He stressed the importance of the current administration's economic reforms, citing structural inefficiencies that the administration aims to tackle
President Bola Ahmed Tinubu has revealed that the funds saved from the removal of fuel subsidy are being invested in critical infrastructure projects, social safety nets, and targeted economic reforms aimed at rebuilding public trust and fostering inclusive development across the country.
The President stated this at the opening of the National Conference on Public Accounts and Fiscal Governance, organised by the Public Accounts Committees (PACs) of the Senate and House of Representatives on Monday in Abuja, as reported by The Guardian.
Source: Twitter
Tinubu, who was represented by the Minister of State for Finance, Dr Doris Uzoka-Anite, said the fuel subsidy regime was fiscally reckless and unjust.
He explained that, although the subsidy removal has had a significant impact, it was a crucial step in unlocking fiscal resources and reallocating them to sectors that cater to the needs of the larger population.
“In 2022 alone, Nigeria spent over 4 trillion naira on fuel subsidies, more than we allocated to capital expenditure. This was not only fiscally unsustainable but also unjust. A subsidy that disproportionately benefited the affluent, encouraged smuggling, and bred inefficiency was neither equitable nor strategic.
"Since its removal, we have redirected those funds into targeted interventions, expanding our social safety nets, improving public transportation, and financing critical infrastructure projects. Most importantly, we have strengthened our fiscal buffers, making Nigeria more resilient to external shocks.” The president explained.
The President stressed that effective fiscal governance is the backbone of a nation's progress, and he emphasised that transparency, accountability, and prudent management of public resources are essential for a country's prosperity, regardless of its natural endowments.
Source: Twitter
Tinubu signs four tax-related bills into law
Legit.ng previously reported that the member representing South-East on the Governing Board of the North-East Development Commission (NEDC) and former federal lawmaker, Rep. Sir Sam Onuigbo has commended President Bola Ahmed Tinubu for signing into law four tax-related bills, describing the move as a decisive step toward ensuring Nigeria’s economic stability and long-term prosperity.
Onuigbo, in a statement made available to newsmen on Wednesday, hailed the President’s boldness and vision, noting that the new laws mark the first coordinated attempt by the Federal Government to harmonise tax administration and revenue generation in a manner that reflects global best practices.
Advocacy for tax reform bill
Legit.ng also reported that a group of housing developers, under the umbrella of the Housing Development Advocacy Network (HDAN), have called on the federal government to include tax relief for building materials and developers of social housing in the Nigeria Tax Bill 2024.
Executive director of the group, Festus Adebayo, noted that incorporating tax reliefs for social housing is key to ensuring that Nigerians get affordable housing.
Source: Legit.ng
