It was Tinubu’s decision – IMF denies being behind subsidy removal

The International Monetary Fund (IMF) says it played no role in the removal of fuel subsidy by the President Bola Tinubu administration.

It made the clarification at a press conference during the IMF and World Bank Annual Meetings in Washington DC, United States.

Abebe Selassie, IMF’s African Region Director, described the decision to remove fuel subsidy by Tinubu’s government as a domestic one.

“The decision was a domestic one. We don’t have programmes in Nigeria. Our role is limited to regular dialogue, as we have with other nations like Japan or the UK,” the official said, according to Vanguard.

However, Selassie argued that the government’s choices regarding subsidy removal reflect its long-term strategy for sustainable economic growth.

“We recognise the significant social costs involved. The government can mitigate these by expanding social protection for the most vulnerable,” he said in reference to Nigerians affected by the impact of subsidy removal.

Tinubu announced that subsidy was gone on May 29, 2023. The development has led to an astronomical hike in the fuel pump price, with a litre selling for over N1000 as of the time of this report.

Many Nigerians had accused the government of following IMF policies in implementing total subsidy removal.