Nigeria saved N15trn from petrol subsidy removal – Finance Minister
Finance Minister, Taiwo Oyedele, has said savings from petrol subsidy yielded N15.8 trillion between June 2023 and December 2025. Speaking at a media conference on the scorecard of the Tinubu administration, on Wednesday, the Minister said the savings were reflected through higher revenue collections. “Between June 2023 and December 2025, subsidy savings mobilised the sum […]
Finance Minister, Taiwo Oyedele, disclosed that the removal of petrol subsidies between June 2023 and December 2025 saved Nigeria N15.8 trillion, which bolstered revenue collections. The savings were divided, with N5.4 trillion going to the Federal Government, N10.4 trillion shared among states and local governments, and N3.1 trillion coming from incremental independent revenue primarily from remittances.
The total incremental resources stood at N20.4 trillion, partially funding N30.64 trillion in expenditure. Of this, N9.39 trillion was allocated to wage adjustments, minimum wage increases, and public servant allowances, while N9.37 trillion went to servicing external debt and N6.5 trillion to strategic infrastructure. Oyedele emphasized that the reforms aimed at addressing corruption and distortions rather than solely for revenue generation.
The scorecard evaluated Nigeria's fiscal performance across 25 indicators, comparing May 2023 with mid-2026 verified data. Notably, the reforms boosted workers' welfare, with the minimum wage rising from N30,000 to N70,000. The government also supported vulnerable households through NELFUND, cash transfers, subsidized mortgages, and agricultural initiatives.
Additionally, the reforms helped prevent potential economic strain, as 27 states faced salary payment issues in May 2023, which would have been exacerbated without the reforms.
Written by urgent.news from Daily Trust's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
