In a speech on Monday, President Bola Tinubu revealed that Nigeria has saved more than 1 trillion naira ($1.32 billion) in slightly over two months since eliminating a popular but expensive petrol subsidy and opting to unify its multiple exchange rates.
Amid mounting public discontent over rising prices, Tinubu has introduced measures to stimulate the economy and mitigate inflationary pressures resulting from his decision to eliminate the petrol subsidy at the end of May, a move that incurred a $10 billion cost for the government in 2022.
In a daring move, the boldest in decades, the country’s reforms also involve lifting restrictions on foreign exchange trading, a gamble aimed at stimulating economic growth, as envisioned by Tinubu.
“In a little over two months, we have saved over a trillion naira that would have been squandered on the unproductive fuel subsidy which only benefitted smugglers and fraudsters,” Tinubu said in a live broadcast.