Fuel Subsidy Removal is Key for Nigeria's Economy, Ex-Osun Lawmaker

A leader of the All Progressives Congress in Osun State, Olatunbosun Oyintiloye, has said that President Bola Tinubu’s end of fuel subsidy was a brave and smart economic reform. He believes this step has put Nigeria on the path to steady growth and recovery.

The ex-lawmaker also warned those looking to run for office in the 2027 elections against twisting facts about the subsidy removal.

He said Nigerians now see the need for the subsidy to go after the bold move by Tinubu to end it. Oyintiloye made these comments in a statement he released in Osogbo on Sunday. He pointed out that the subsidy system had placed a heavy financial load on the country.

The former representative of Obokun State Constituency in the Osun State House of Assembly explained that the reform was necessary. Nigeria could not keep spending trillions of naira on petrol subsidies while facing financial pressures and gaps in development.

He added that people should look at the policy beyond the immediate rise in petrol prices. It is an effort to fix a long-standing problem in the economy. "The decision was tough, but Nigeria needed the guts to face a system that was too costly to maintain. We cannot keep spending trillions of naira on subsidy while key areas of the economy lack funding."

"The resources must be redirected towards development and productive investments, and that was what President Tinubu did. We are now seeing the benefits," he said.

The APC leader shared that removing the subsidy has brought many economic gains. This includes lessening the government's financial burden, improving budget discipline, and freeing up resources for development.

Oyintiloye also mentioned that the reform has boosted the economic appeal for investment in local refining and the downstream petroleum industry. He highlighted the Dangote Refinery, which has a capacity of 650,000 barrels per day, as a key move in Nigeria’s effort to increase local refining and cut down on imported refined products.

But he admitted that the policy has caused significant short-term challenges for Nigerians. This includes higher costs for transport and daily living.

"We recognize the hardship Nigerians are facing, but going back to the old system without fixing its core issues would only delay the crisis. The solution is to make sure the resources saved from the subsidy are turned into real benefits for the people. The Tinubu administration has been working on this," he said.

He urged the Federal Government to keep focusing on investments in areas like infrastructure, public transport, healthcare, education, agriculture, social support, and job creation.

He emphasized that the true success of the subsidy removal will be seen in how it affects the productivity and well-being of Nigerians. "Nigeria must shift from subsidizing consumption to investing in production, creating opportunities, and building an economy that can provide lasting prosperity," he said.