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How we spent fuel subsidy, foreign exchange savings – FG

*** Says savings spent on debt servicing, student loan, new minimum wage, others
*** Promises to make details of expenditure public
By Sam Otuonye
As Nigerians groan under the frustrating hardship that trailed the removal of fuel subsidy by President Bola Tinubu, upon his assumption of office in May 2023, the federal government has explained how it managed the gains and savings that the country has made from the removal.
President Tinubu had in his inauguration speech at the Eagle Square in Abuja on May 29, 2023, shocked Nigerians when he announced the removal of fuel subsidy, a decision that immediately and subsequently raised the price of petrol to a top roof, with its corresponding increase in the prices of good and other services.
The president described fuel subsidy as a high-powered fraud among top government officials, while promising that savings from the removal would be channeled into other sectors that will add to the welfare of Nigerians.
The federal government took similar measures in other economic reforms, including the floating of the country’s currency (Naira) which was led to its drop in exchange with international domination like the American Dollar, Eurozone’s Euro and British Pounds Sterling.
But several stakeholders and opposition political parties have severally demanded that the government release details of the subsidy savings, and how it has managed the sum gained from it since 2023.
Minister of Finance and Supervising Minister of the Economy, Taiwo Oyedele, said on Thursday that the federal government had diligently utilised savings from the removal of fuel and foreign exchange subsidies to settle several other challenges that have promoted the welfare of the people.
Oloyede explained that the funds have been channelled into debt servicing, implementation of the new national minimum wage, student loans and other priority commitments.
Oyedele who spoke at the 7th Africa Emerging Markets Forum in Abuja, assured further that a detailed breakdown of the subsidy savings and how they have been spent would soon be made public.
He admit that Nigerians were right to demand accountability, adding that the government had a responsibility to explain how the funds had been utilised.
The minister disclosed that the combined cost of fuel subsidy, as well as the “subsidy on foreign exchange” amounted to about five per cent of Nigeria’s Gross Domestic Product (GDP), adding that although the reforms created fiscal savings, their broader objective was to eliminate distortions and curb corruption associated with the previous system.
Oyedele stressed that part of the savings had also been used to clear the Federal Government’s Ways and Means obligations, service increasing debt commitments and fund the implementation of the new national minimum wage.
He explained that before the reforms, government spending was largely supported through money creation, making it necessary to find alternative sources of funding after the subsidy removal.
“But the money saving is also important. In a few days, you will see the detailed analysis because we believe that we owe a duty to explain what we do to the Nigerian people. That’s what transparency looks like.
“If you stop printing money, the spending doesn’t disappear. You need to finance the money you were printing before. That was part of where the savings went,” he said.
He added that higher interest rates had significantly increased the cost of servicing the country’s debt.
“Instead of paying eight per cent on our debt, we’re paying as high as 24 per cent. When you need to service debts, you don’t debate whether you need to pay. You pay, and you pay on time,” he added.
Oyedele, who also said the increase in the national minimum wage from N30,000 to N70,000 had almost doubled the Federal Government’s wage bill, further disclosed that the savings had supported the Nigerian Education Loan Fund (NELFUND), through which more than 1.5 million students have received tuition support and monthly upkeep allowances.
Speaking on concerns over the Federal Government’s continued borrowing despite surpassing its revenue targets, Oyedele explained that higher revenue does not automatically eliminate the need for borrowing when projected expenditure still exceeds income
“The programme has eased financial pressure on many families, allowing parents to redirect resources to other essential needs.
“If you have a budget to spend 10 and your revenue target is six, you need to borrow four. If you eventually collect seven, you have exceeded your revenue target, but you still need to borrow three.
“We must add more value than the cost of every naira and every dollar that we borrow,” he said.
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Nigeria must avoid oil economy mistakes with data – Oyedele
By Sam Otuonye
Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has cautioned that Nigeria risks repeating the costly mistakes of its oil economy if it continues to rely heavily on foreign infrastructure for storing and processing its data instead of harnessing the economic value of its expanding digital sector.
Oyedele gave this charge on Wednesday in Uyo, Akwa Ibom State, while delivering the convocation lecture titled *“Digital Sovereignty and Ethics: Guarding the Economy for the Next Generation”* at the University of Uyo.
He recalled that exporting crude oil and importing refined petroleum products deprived Nigeria of substantial domestic value, expertise and employment opportunities, stressing that the country must not allow a similar pattern to emerge in the digital economy.
Oyedele maintained that the scale of the opportunity was already evident, citing Nigerian Communications Commission (NCC) figures showing that Nigeria had more than 157 million active internet subscriptions as at May 2026. However, he highlighted an estimate by the Nigeria Data Protection Commission that over 90 per cent of the country’s data is hosted abroad.
He observed that such dependence comes at a considerable economic cost, including foreign exchange outflows for offshore data hosting and processing, lost opportunities for local businesses and professionals, and exposure of Nigerian data to foreign laws and jurisdictions.
The Minister explained that digital sovereignty entails a country’s ability to determine, under its own laws, how its data is collected, stored, accessed and utilised. He clarified that this does not mean shutting Nigeria out of the global digital economy, but ensuring that its participation advances national interests.
To reverse the trend, he called for deliberate investment in domestic digital infrastructure, stronger regulatory institutions and the development of local expertise and businesses capable of converting data into valuable products and services within Nigeria.
Speaking on artificial intelligence, Oyedele highlighted its growing capacity to reshape employment and the skills required in the emerging economy. He charged graduates to embrace AI and other emerging technologies while retaining their independent judgement, critical thinking, creativity, empathy and integrity.
He also enjoined young Nigerians to be deliberate about their conduct in the digital space, noting that their online footprints increasingly influence their personal and professional identities. Their posts, comments and reactions, he said, could shape how employers, institutions and society perceive them.
The Minister counselled graduates to disagree respectfully, challenge ideas rather than attack individuals, and understand that online attention does not necessarily translate into respect, popularity into credibility or virality into value creation. He equally drew attention to the capacity of artificial intelligence to amplify misinformation, impersonation and dishonesty, making ethical conduct and public trust increasingly important.
Turning to the role of universities, Oyedele charged higher institutions to move beyond the traditional award of certificates and position themselves as centres of innovation, entrepreneurship, ethical leadership and practical problem-solving.
He argued that their relevance should also be measured by the problems their graduates solve, the businesses they establish and the contributions they make to their communities.
The Minister identified agriculture, energy, healthcare, marine resources, environmental management and digital services as sectors offering significant opportunities for innovation and enterprise, calling on universities to equip students with the practical knowledge and skills to develop solutions in these areas.
He outlined five responsibilities for the graduating students: lifelong learning, value creation, integrity, responsible digital citizenship and active participation in nation-building.
Oyedele stressed that Nigeria’s digital future would depend not only on technology and infrastructure, but also on the values, choices and capabilities of the people shaping its development.
He challenged the graduates to see themselves as active contributors to that future, drawing on the words of management thinker, Peter Drucker: “The best way to predict the future is to create it.”
TCN seeks Bauchi govt’s partnership for new substations in Alkaleri, Toro
By Sam Otuonye
The Transmission Company of Nigeria (TCN), Bauchi Region, has appealed to the Bauchi State Government to expedite land allocation for two proposed transmission substations in Alkaleri and Toro Local Government Areas (LGAs) of the state which are expected to expand transmission capacity and improve bulk power supply across the state.
The Ag. General Manager (Transmission), Bauchi Region, Engr. Muhammed Bello Ahmed, made the appeal during a courtesy visit to the State Ministry of Land and Survey on Monday, November 2, 2026, emphasising the need for timely land allocation to facilitate project implementation.
He commended the state government for engaging host communities on the proposed projects and protecting critical transmission infrastructure through the enforcement of Right-of-Way (RoW) regulations, particularly the removal of illegal structures beneath high-voltage transmission lines.
In his response, the Permanent Secretary of the Ministry, Shuaibu Alhaji Mohammed, assured TCN of the state government’s support for the substation projects. He reaffirmed the Ministry’s commitment to facilitating the land allocation process and pledged to strengthen security around critical transmission facilities.
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CITAD challenges big tech dominance, advocates digital sovereignty
Abdul Haruna
The Centre for Information Technology and Development (CITAD) has argued that Nigerians should not have to surrender control over personal information to access digital communication.
The Centre stated this on Thursday while unveiling DANCIT, a homegrown messaging application designed as an alternative to mainstream platforms.
Buhari Abba, who addressed a press conference in Bauchi on behalf of the Executive Director of CITAD, said DANCIT is hosted on CITAD’s own digital infrastructure and is designed to limit unnecessary tracking, profiling and commercial exploitation of personal data.
He explained that the name DANCIT draws inspiration from the traditional Hausa concept of ‘dandali’ — a communal gathering place where people meet, exchange ideas and discuss matters affecting their lives.
“DANCIT is designed to offer an alternative by placing community needs, privacy and digital independence at the centre. Its purpose goes beyond exchanging messages; it is intended to support civic engagement, grassroots organising and digital rights discussions,” Abba said.
He said the platform represents a statement against continued monopolisation of digital innovation, noting that a healthy digital ecosystem requires space for competition, creativity and locally developed solutions.
CITAD also called on the Federal Government, civil society and educational institutions to support decentralised and locally-owned digital platforms to strengthen Nigeria’s digital sovereignty.
According to the Centre, digital sovereignty involves having the capacity to make informed decisions about digital infrastructure, data governance and technological development in ways that reflect national and community interests.
“Encouraging Nigerian institutions and communities to develop, host and manage digital services can contribute to building local capacity and reducing dependence on external providers. It does not mean isolating Nigeria from the global internet,” the statement said.
The organisation lamented that journalists, civil society organisations, young people and ordinary citizens increasingly depend on platforms that exploit data, amplify misinformation and impose arbitrary content restrictions.
It therefore urged policymakers, technology developers and the media to prioritise privacy, transparency, accountability and user control in discussions about Nigeria’s digital future.
CITAD also called on Nigerians to look beyond the popularity of mainstream platforms and consider how responsibly they handle information and respect users’ rights, adding that “our conversations matter, our data deserves protection, and our communities deserve digital spaces they can trust.”
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