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| Clem Agba and Zainab Amhed |
Lois Otse Adams & Blessing Etim
The Honourable Minister of State, Budget and National Planning, Prince Clem Agba, has emphasized the need for citizens to be specific on what they really want as related to fuel subsidy removal in the country.
Speaking at a Public Consultative Forum, on the 2023-2025 Medium-Term Fiscal Framework which held in Abuja on Thursday, July 21, 2022, the Minister maintained that Nigerians really need to decide and prepare for what is ahead, because if citizens must have a future, then Subsidy needs to go.
According to him: “The better day to remove the subsidy is yesterday, it is like requesting for omelet and the government brings eggs to prepare it and the citizens say do not break the eggs.”
“Unfortunately those who agree with us in-house that subsidy should be removed will come out to the public to say do not remove the subsidy but behind the scene, they see the books, they understand that it has to be done. But maybe out of lack of patriotism or in order to promote themselves, they say it is the government that wants to punish the people.” He added.
Speaking on Infrastructure, Agba noted that the government with its limited resources will continue to focus and invest a lot of energy in bringing in infrastructure into the country.
He pointed out noticeable projects done by the Federal Government, such as the completion of the second longest bridge in the country, connecting the north – east to the south – east across river benue, which is awaiting commissioning by the President among other infrastructural developments in the country.
Also speaking at the event, the Honorable Minister of Finance, Budget and National Planning, Dr. Zainab Ahmed, said the Federal Government will make provision for subsidy in 2023 to the tune of N6.72 trillion. Ahmed stated that the government has projected fiscal outcomes in the medium term, under two scenarios based on the underlying budget parameters/assumptions.
Under the first scenario, the Minister said; “the subsidy on PMS is estimated at N6.72 trillion for the full year 2023”. This amount she said will remain and be fully provided for by the NNPC on behalf of the federation. The second scenario the minister explained is that “petrol subsidy will remain up to mid-2023 based on the 18-month extension announced early 2021, in which case only N3.36 trillion will be provided for”.
Ahmed however cautioned that both scenarios have implications for net accretion to the Federation’s Account and projected deficit levels.
Also, the Finance Minister explained that the transition of the NNPC to a limited liability company means that the company will no longer make contributions to the federation’s account but will make payments on only taxes and royalties as well as continue with the task of paying for fuel subsidies just as it has been the case in the past eight months.
