Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has revealed that Nigeria spends $600 million each month on fuel imports. This substantial expenditure is partly due to neighboring countries, extending to Central Africa, benefiting from Nigeria’s fuel imports.
Speaking to reporters on Wednesday, Edun explained that this situation prompted President Bola Tinubu to remove the fuel subsidy, highlighting that Nigeria lacks precise data on domestic fuel consumption. He noted that at the time of subsidy removal, the poorest 40% of the population were receiving only 4% of the subsidy’s value and were effectively not benefiting from it.
Edun pointed out that the country’s fuel imports extend beyond its borders, stating, “We are buying not just for Nigeria, but for countries to the east, almost as far as Central Africa, and for countries to the north and west. This raises the question of how long Nigerians are willing to continue this practice, which is a key issue regarding petroleum pricing.”
The finance minister also addressed the N570 billion fund released to state governments in December 2023. He clarified that this amount was a reimbursement under the COVID financing protocol and emphasized that states have received more financial support. “Mr. President has charged us to ensure food production in the states,” Edun added.
The revelation underscores the urgent need for accurate fuel consumption data and highlights the broader economic implications of Nigeria’s fuel import policies.
