Subsidy Removal: Tinubu, APC reply Atiku, insist policy saved Nigeria from fatal hemorrhage
Tinubu Administration Defends Fuel Subsidy Removal Amid Political Opposition
By Omeiza Ajayi, Abuja
The removal of fuel subsidies by President Bola Tinubu’s administration is being defended as a necessary economic reform by the ruling All Progressives Congress (APC). This comes as former Vice President Atiku Abubakar proposes to reinstate the subsidy ahead of the 2027 elections.
At a Policy Roundtable hosted by the APC Professionals Forum on Tuesday, Prof. Nentawe Yilwatda, the National Chairman of the APC, represented President Tinubu and emphasized that eliminating the subsidy was essential to reallocating national resources into more productive sectors. Yilwatda stated that the administration inherited significant economic challenges upon taking office on May 29, 2023, including fuel subsidy distortions, multiple exchange-rate windows, and inadequate infrastructure investments.
As of August 2026, gross external reserves have climbed to approximately $52.7 billion, and consolidated non-oil revenue surged from around ₦13.63 trillion in 2023 to ₦16.4 trillion in the first half of 2026. Yilwatda reported further improvements, noting that Nigeria’s merchandise trade position shifted to a surplus of around ₦7.54 trillion in the first quarter of 2026, with real gross domestic product (GDP) increasing by 4.43 percent in the second quarter and inflation decreasing to approximately 15.4 percent.
He linked these positive trends to the administration’s ambitious goal of achieving a $1 trillion economy by 2030, which includes plans for an integrated five-port maritime and logistics corridor across multiple states. Yilwatda asserted that the northern regions of Nigeria would be primary beneficiaries of this economic vision, enhancing trade relationships with neighboring countries.
In addition to infrastructure projects, Yilwatda highlighted various initiatives aimed at improving economic stability, such as the Ajaokuta-Kaduna-Kano gas pipeline and the Nigerian Education Loan Fund (NELFUND). He urged Nigerians to consider the implications of consolidating ongoing reforms versus reverting to previous policies in the lead-up to the 2027 elections.
Dr. Isa Yuguda, the Chairman of the Board of Trustees for the APC Professionals Forum, also spoke at the event. Yuguda previously chaired a Fuel Subsidy Task Force in 2009, which investigated irregularities within the subsidy regime. He noted that the former subsidy system had become financially burdensome, detracting from essential investments in education, security, and healthcare.
Yuguda commended President Tinubu for the political courage shown in implementing the subsidy removal, which he claimed has saved over ₦15 trillion. He called for ongoing efforts to strengthen border security and intelligence measures to address Nigeria’s persistent security challenges, emphasizing that the 2027 electoral campaign should focus on substantive issues and realistic solutions rather than short-term gains.
The APC maintains that reversing the fuel subsidy removal risks returning to a regime marked by inefficiencies and financial losses, undermining national investment opportunities. The party continues to promote its agenda of progress and reform as the country approaches the next presidential election.
