The current context in Nigeria is marked by a wave of protests and demands by civil society, particularly through a coalition of organisations called The Osun Masterminds (TOM). The latter have expressed concern over the economic policies of the current government and have appealed to President Bola Tinubu to restore the fuel subsidy in a bid to alleviate the suffering of Nigerians.
According to the group’s Executive Director, Professor Wasiu Oyedokun-Alli, the policies of removing the fuel subsidy and floating the naira pursued by the current administration are responsible for the hardships being experienced by the people. He says Nigeria was not ready for the removal of the fuel subsidy and the floating of the naira at the same time, citing a World Bank study which indicates that the total removal of the fuel subsidy leads to an increase in inflation by 3.4 per cent in the economy.
It highlights the vicious circle in which the Nigerian economy finds itself, with soaring inflation pushing the Central Bank to increase interest rates, which negatively impacts the private sector, already weakened by high unemployment. In this context, it calls on the Federal Government, under the leadership of President Bola Tinubu, to take urgent measures to reverse the trend.
The group’s recommendations include ending the floating of the naira in favour of a pricing system supervised by the Central Bank, as well as reinstating the fuel subsidy with full transparency, until adequate structures are put in place to manage the consequences of its total removal. They also encourage the government to channel more resources into strategic subsidies for ordinary citizens, instead of distributing funds to states that end up financing the frivolous lifestyles of many governors.
In a country where the population faces major economic challenges, civil society’s calls for economic policy reform and greater government transparency are critical to ensuring the well-being and prosperity of Nigerians. Constructive dialogue between government and civil society is crucial to finding sustainable and equitable solutions that will benefit the entire population.