Bringing back subsidies will cost Nigeria N20trn annually — Report

The Centre for the Promotion of Private Enterprise (CPPE) has stated that restoring petrol subsidy will cost Nigeria approximately N20 trillion annually and could lead to a deeper fiscal, debt, and foreign exchange crisis. The Presidency and former Vice President Atiku Abubakar have been in disagreement over the removal of subsidy and its economic effects. Atiku, the presidential candidate of the African Democratic Congress, has vowed to return fuel subsidy if elected. CPPE CEO Dr. Muda Yusuf, in a policy position, argued that the economic fallout of fuel subsidies would outweigh any short-term relief, citing an estimated daily consumption of 50 million litres and a subsidy requirement of N1,050 per litre, resulting in potential fiscal exposure of N52.5 billion daily and N1.575 trillion monthly.

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