the Federal Government says it utilised the savings from the removal of fuel and foreign exchange subsidies, and deployed to it debt servicing, salary increases, student loans and other critical obligations.
The Minister Of Finance And Coordinating Minister Of The Economy Taiwo Oyedele, disclosed this at the ongoing 7th Africa Emerging Markets Forum in Abuja, where he also pledged to release a detailed breakdown of how the savings have been spent.
He said the combined cost of fuel subsidy and subsidy on foreign exchange was about five per cent of Nigeria’s Gross Domestic Product (GDP), noting that the primary objective of government reforms was to eliminate distortions and corruption in the system.
Speaking about concerns over the government’s continued borrowing despite surpassing its revenue targets, he explained that borrowing was not problematic, provided the funds were invested productively.
