FG Rules Out Fuel Subsidy Return, Rejects Multiple Exchange Rates Ahead of 2027 Elections

The Federal Government has ruled out a return to fuel subsidy and multiple exchange rates, insisting that President Bola Tinubu’s administration will not reverse its major economic reforms ahead of the 2027 general elections.

Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, stated the government’s position on Saturday while addressing concerns about Nigeria’s economic policies. He spoke on the sidelines of the World Bank and International Monetary Fund meetings in Bangkok, Thailand.

Oyedele said the administration remained committed to keeping the fuel subsidy removed and maintaining a liberalised foreign exchange market. According to him, the possibility of reversing the policies has repeatedly come up during engagements with rating agencies, investors and international financial institutions.

The minister said the government had continued to face questions about whether it planned to change course on the reforms. He used the engagements to reaffirm that the administration would not return to the previous arrangements.

“And let me be clear as well, this was a recurring question almost through all our engagements, but also with the rating agencies, with the investors, and the multilateral institutions,” Oyedele said.

“Every time they ask, are you reversing your plans? Are you bringing back subsidies? Let me be clear, there will be no return to fuel subsidies or multiple exchange rates,” he added.

The statement comes amid renewed political debate over the removal of petrol subsidies and the economic pressures facing Nigerians. The reforms have remained a major issue as political parties and leaders discuss possible approaches to the country’s cost-of-living challenges ahead of the 2027 elections.

Former Vice-President Atiku Abubakar of the African Democratic Congress (ADC) and Peter Obi of the Nigeria Democratic Congress (NDC) have criticised the government’s economic policies and called for measures to ease the burden on Nigerians.

Oyedele’s comments reaffirm the Federal Government’s stated position that it intends to maintain the existing reform direction rather than restore fuel subsidies or multiple exchange rates. The statement did not outline any new measures to address the immediate cost-of-living concerns raised by critics.