Sanusi said Jonathan halted subsidy removal in 2012 to prevent Boko Haram from exploiting protests.
Former Central Bank of Nigeria (CBN) Governor, Sanusi Lamido Sanusi, has revealed that ex-President Goodluck Jonathan abandoned plans to fully remove fuel subsidy in 2012 to avoid terrorist exploitation of nationwide protests.
Speaking at the Oxford Global Think Tank Leadership Conference themed “Better Leader for a Better Nigeria,” Sanusi said the administration faced massive opposition during the Occupy Nigeria protests in Lagos and other cities.
He explained that Nigeria’s subsidy model was “a naked hedge,” not a true subsidy. “Anyone who takes a naked hedge ends up being bankrupted, especially with a commodity where you don’t control the price,” he said, noting that the government was borrowing to pay subsidies and even interest on borrowed funds.
Sanusi said Jonathan compromised due to fears that Boko Haram could attack protesters. “If one suicide bomber had gone to the protest and killed 200 people, it would no longer be about subsidy,” he said.