They explained that a better incentivised workforce in the health, education and defence ministries was possible by realising savings from subsidy removal or reduction.
It disclosed this in its September 2022 report titled, “The State of Nigeria’s Economy,” stressing that the Federal Government’s huge fuel subsidy spending had been a drain on the country’s revenue despite the rise in crude oil prices in 2022. “Embark on the gradual phasing out of the fuel subsidy programme,” the economic think-tank told the Federal Government, stressing that sustaining the programme was “disastrous.”
“Understandably, this suggestion will affect the welfare of the citizens, but it is only in the short term. On the other hand, the more extended effects of sustaining this programme are disastrous.”