Kayode ShopekanFederal government has revealed plans to remove fuel subsidies by mid 2022.
Minister of Finance, Budget and National Planning, Zainab Ahmed, made the revelation on Tuesday at the World Bank Nigeria Development Update (NDU).
According to her, fuel subsidies will be replaced with N5000-a-month transport grants to the poorest Nigerians.
The minister noted the grant will go to about 30 to 40 million Nigerians, who make up the poorest population of the country.
“The subsidies regime in the [oil] sector remains unsustainable and economically disingenuous.
“Ahead of the target date of mid-2022 for the complete elimination of fuel subsidies, we are working with our partners on measures to cushion potential negative impact of the removal of the subsidies on the most vulnerable at the bottom 40% of the population.
“One of such measures would be to institute a monthly transport subsidy in the form of cash transfer of N5,000 to between 30 – 40 million deserving Nigerians,” Ahmed said.
Follow Us