Presidential tax reform chief Taiwo Oyedele says savings from Nigeria’s fuel subsidy removal cannot fund the infrastructure and services needed for a 200-million population.
Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, has warned that Nigeria’s savings from the removal of fuel subsidy since 2023 are far too small to drive national development. Speaking on Wednesday at a capacity-building training on the Nigeria Tax Act (2025) for State House Press Corps members in Abuja, Oyedele stressed the need for comprehensive tax reforms to achieve sustainable economic growth.
He revealed that the combined annual budgets of the federal government, 36 states, the Federal Capital Territory and all 774 local governments total less than $50 billion, which he described as inadequate for a country of more than 200 million people. “Even if you remove corruption and waste completely, the resources at our disposal are not enough to transform Nigeria. Subsidy savings alone cannot deliver the level of infrastructure and services required. Our fiscal space is simply too small,” he said. Oyedele added that the former subsidy regime left the federation near collapse, with NNPC pledging future crude as collateral for petrol imports.