Tinubu rules out return to fuel subsidy regime

President Bola Tinubu has ruled out a return to the fuel subsidy regime, saying Nigeria must stay the course with the reforms introduced by his administration while shifting attention to using the country’s energy resources to drive production and reduce the cost of living.

The President made this known in his Independence Day address to Nigerians on Thursday.

Addressing Nigerians, President Tinubu described the next phase of his administration’s economic programme as one focused on shared and widespread prosperity after three years of reforms aimed at correcting the country’s economic direction.

The President acknowledged calls to abandon the reforms and return to subsidy-driven policies. He however noted that such calls must be resisted, arguing that the government had already taken the difficult steps needed to stabilise the economy.

He said the administration’s task had now changed from correcting the country’s economic course to ensuring that the benefits of the reforms translate into lower production costs, more jobs and improved living standards.

On the energy front, Tinubu said Nigeria would use its gas resources to power new industries, while efforts would continue to revive factories, improve electricity supply and expand infrastructure.

He said reducing the cost of production and movement of goods would eventually translate into lower prices for consumers.

“When a farmer produces more cheaply, when a manufacturer spends less on electricity, when a truck reaches its destination faster, the savings ultimately find their way into the price of goods,” he said.

The President also cited the decline in oil theft as part of the progress recorded in the oil sector, alongside improvements in government revenue and broader economic indicators.

He said the government’s priority was now to make the economy more productive rather than return to measures that provided temporary relief without addressing underlying structural problems.

Tinubu acknowledged that millions of Nigerians were still struggling with the cost of food, transport, school fees and medical bills, but said the government could not reverse in four years problems that had accumulated over generations.

“The age of reform has done its work. Now begins the age of prosperity,” he said.