Nigeria will not return to fuel subsidy regime — Oyedele

Business, Politics

PARIS, France (NPA) — Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has clarified that the Federal Government has no plans to return to the fuel subsidy regime despite the recent disruption in global petroleum prices triggered by the Middle East conflict and tensions in the Strait of Hormuz.

Oyedele made the clarification during engagements with global investors in Paris as part of President Bola Ahmed Tinubu’s working visit to France. He maintained that the subsidy regime created distortions in the Nigerian economy and was not sustainable.

“We will not bring back fuel subsidy because it creates distortions for the economy,” the minister said.

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He also ruled out the possibility of price controls on refined petroleum products, stressing that the government remains committed to market-driven reforms and believes market forces would ultimately stabilize prices.

According to him, the ongoing tensions involving Iran and the Strait of Hormuz present new economic opportunities for Nigeria as countries seek to diversify energy sources and explore emerging investment destinations.

Speaking on the performance of the Nigerian economy, Oyedele said the country recorded an 11.2 per cent Gross Domestic Product (GDP) growth rate in U.S. dollar terms in 2025, adding that the performance reinforces Nigeria’s ambition of building a $1 trillion economy by 2030.

President Tinubu and his delegation are expected to depart France for Nairobi, Kenya, where the Nigerian leader will participate in the Africa CEO Forum after concluding his engagements in Paris. The forum is expected to bring together African leaders, global investors, and top business executives to discuss economic growth, regional integration, and private sector development across the continent.