Tinubu Defends Fuel Subsidy Removal, Says Reversal Call Shows ‘Serious Ignorance’
President Bola Tinubu has defended his administration’s decision to remove Nigeria’s petrol subsidy, arguing that reversing the policy would demonstrate a lack of understanding of the country’s economic and governance challenges.
Tinubu made the comment on Thursday at the Presidential Villa in Abuja while receiving Osun State Governor Ademola Adeleke, who recently secured a second term in office.
The President also pointed to the financial difficulties faced by state governments before he assumed office in 2023, saying 27 states were unable to meet their salary obligations and depended on the Federal Government for support.
Tinubu: Subsidy reversal would be a mistake
Tinubu said he had seen one of his political opponents promise to restore the petrol subsidy, although he did not identify the politician.
The President described the proposal as a demonstration of what he called “serious ignorance on governance and economy.”
Tinubu announced the removal of the petrol subsidy during his inauguration on May 29, 2023. The decision immediately changed the economics of fuel pricing in Nigeria and triggered significant increases in petrol, transport and other living costs.
The policy has remained one of the most controversial aspects of Tinubu’s economic programme, with opposition politicians and sections of the public repeatedly calling for measures to reduce its impact on households.
Tinubu, however, maintains that the subsidy regime was financially unsustainable and that removing it was necessary to protect Nigeria’s long-term economic stability.
President highlights unpaid salaries and pensions
In defending the reform, Tinubu recalled the financial position of several state governments before his administration came into office.
According to the President, 27 states were unable to pay workers’ salaries, with pension obligations also becoming a major challenge.
He argued that the ability of governments to pay workers has wider consequences because salaries support entire families and communities.
Tinubu also stressed that government responsibilities extend beyond salaries to infrastructure, housing, schools, hospitals and other public services.
His argument is that governments require sufficient resources to fund these responsibilities — and that maintaining expensive fuel subsidies would have continued to put pressure on public finances.
Tinubu Defends Fuel Subsidy Removal, Says Reversal Call Shows ‘Serious Ignorance’
Government says subsidy removal generated N15.8 trillion
The President’s comments came a day after Finance Minister and Coordinating Minister of the Economy, Taiwo Oyedele, disclosed that the removal of the petrol subsidy generated ₦15.8 trillion in resources for the Federation between June 2023 and December 2025.
Oyedele explained that the amount did not appear as a separate credit to the Federation Account labelled “subsidy savings”.
Instead, he said, the savings represented resources that became available to the Federation following the removal of the subsidy.
The figure provides the latest financial argument from the Federal Government for retaining the policy.
The cost-of-living argument remains
While the government emphasises fiscal savings and economic stability, the impact of subsidy removal on ordinary Nigerians remains a central part of the debate.
Higher petrol prices have affected transportation and contributed to increased household expenses, while businesses have also faced higher operating costs.
For many Nigerians, the question is therefore not simply whether subsidy removal has improved government finances, but whether those gains are translating into better living conditions.
The government has continued to argue that the reforms are designed to create a more sustainable economy and free resources for investment in infrastructure and social services.
Tinubu’s latest comments suggest that his administration has no intention of reversing the petrol subsidy policy, despite continued political pressure and public concern over the cost of living.
The debate is likely to remain prominent as Nigeria approaches the 2027 general elections, with opposition politicians expected to use the economic impact of the reforms as a major campaign issue.
For the Federal Government, the challenge now is to demonstrate that the resources generated by the reforms can translate into better infrastructure, stronger public services, improved economic opportunities and meaningful relief for households.
Ultimately, the political argument over fuel subsidy will be settled not only by the size of the savings recorded by government, but by whether Nigerians believe those savings are improving their lives.
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