Former Minister of State, Finance, Dr. Yerima Lawan Ngama has backed the federal authorities’s removing of gas subsidy which shot up worth of the commodity.
The economist stated regardless of the difficulties, the choice to abolish Nigeria’s gas subsidy is the precise one.
“The subsidy continues to crowd out different growth spending, the fee has additionally continued to develop exponentially. Nigeria is paying about N1 trillion Naira yearly for curiosity alone of each home and overseas loans. We can’t proceed like this”, Ngama defined.
On the advantages of the subsidy removing to abnormal Nigerians, Ngama stated, “within the wake of the worldwide monetary disaster occasioned by COVID-19 pandemic and growing sovereign debt danger, financing for growth is drying up and Nigeria should now look inward to finance its progress and growth wants.
“So, if Nigerians need good highway networks, healthcare companies and different primary wants, then they need to endure the present hardship”.
The previous PDP Chieftain was additionally of the view that the N160 per liter of petrol is even too small contemplating the quantity paid by petrol finish customers in international locations like Saudi Arabia, which is over N200.
“Once I was a Minister beneath Jonathan’s administration, we suggested the federal government to take away the subsidy as a result of it was a rip-off, some few people have been simply enriching themselves from it, however due to some curiosity, the federal government failed to simply accept our recommendation. At present, Nigerians are paying for that expensive mistake”, he acknowledged.