Kyari Bukar, former Chairman of the Nigerian Economic Summit Group (NESG), has raised alarms over President Bola Tinubu’s abrupt removal of the petrol subsidy, advocating for a more gradual implementation to mitigate its effects on the populace. In an appearance on Inside Sources  with Laolu Akande on Channels Television, Bukar suggested that the subsidy should have been reduced by 5% every six months to lessen the financial burden on citizens.

The petrol subsidy was eliminated by President Tinubu during his inauguration on May 29, 2023, which led to a surge in fuel prices from approximately N200 to over N1,000 per liter, exacerbating inflation. Additionally, the administration’s unification of exchange rates resulted in the naira depreciating from around N700 to over N1,600 per dollar in both official and parallel markets.

Bukar, who also serves as the Managing Partner at Trans-Saharan Investment Corporation, emphasized the need for engaging economic stakeholders in the policy-making process. He remarked, “When a policy adversely affects the economy, people will either leave or find ways to bypass it.” He noted the escalating anxiety across the nation, stating, “There is widespread hunger and frustration, leading to violence and unrest, which are linked to recent measures like the fuel subsidy removal and exchange rate harmonization.”

While acknowledging the potential advantages of these policies, Bukar criticized their implementation, asserting, “The subsidy removal should have been phased in gradually. The unintended consequences of such policies should have been carefully examined, with suggestions provided to the President beforehand. Although the vision was commendable, the execution was flawed.”