Group Urges Government To End Naira Floatation And Reintroduce Fuel Subsidies Amid Hardship

Group Urges Government To End Naira Floatation And Reintroduce Fuel Subsidies Amid Hardship....KINDLY READ THE FULL STORY HERE▶

A civil society organization, The Osun Masterminds (TOM), has called on President Bola Tinubu to end the floatation of the Naira and revert to a pricing system guided by the Central Bank of Nigeria (CBN) that is free from corruption and the malpractices that characterized the bank under former Governor Godwin Emefiele……CONTINUE READING 

TOM also demanded the reinstatement of petrol subsidies until appropriate structures are established to manage the impacts of total deregulation. These requests were presented during TOM’s September State of the State address on Saturday.

In making these demands, TOM’s Executive Director, Prof. Wasiu Oyedokun-Alli, stated that the Federal Government should allocate more resources to strategic subsidies for ordinary Nigerians rather than distributing funds to states, which often finance the extravagant lifestyles of many governors.

The group criticized the government’s approach following the removal of fuel subsidies on May 29, 2023, highlighting that several proactive measures should have been implemented to mitigate potential negative consequences. “We anticipated that rising commodity prices would result from increased transportation costs due to higher fuel prices. We expected timely policies to address these issues and protect Nigerians from the hardships we currently face,” they noted.

Additionally, TOM pointed out that the Federal Government’s decision to float the Naira has left it vulnerable to market manipulation and speculation. While a market-driven approach to the Naira could be beneficial, the organization argued that Nigeria’s unique challenges have undermined any potential positive outcomes.

They emphasized that the foreign exchange rate has significantly impacted the average Nigerian, as the country remains heavily reliant on exports, a dependency that has worsened. With a population growth rate of 2.4% compared to a mere 1.8% growth in agricultural value, TOM warned that the nation is struggling to meet its food needs.

The organization also highlighted Nigeria’s reliance on foreign supplies for essential agricultural inputs, such as fertilizer and wheat, particularly from conflict-ridden regions like Russia and Ukraine. This dependence has exacerbated the impact of fluctuating foreign exchange rates, leading to increased import costs and escalating local transportation expenses, further burdening Nigerians and the economy.