President Bola Ahmed Tinubu says the era of fuel subsidy is gone forever and would not be implemented for a single day under his administration
President Tinubu, who spoke in his inaugural speech at Eagle Square, Abuja, on Monday, also said he would ensure a unified foreign exchange rates to bring an end to wide disparity between official and parallel market rates..
Stating that fuel subsidy is gone, Tinubu said: “Subsidy can no longer justify its ever-increasing costs in the wake of drying resources. We shall instead re-channel the funds into better investment in public infrastructure, education, health care and jobs that will materially improve the lives of millions.”
Vowing to review the Naira redesign policy of his predecessor, Tinubu also said both new and old currency notes would be treated as legal tender.
According to him: “Monetary policy needs thorough house cleansing. The Central Bank must work towards a unified exchange rate. This will direct funds away from arbitrage into meaningful investment in the plant, equipment and jobs that power the real economy.
“Interest rates need to be reduced to increase investment and consumer purchasing in ways that sustain the economy at a higher level. Whatever merits it had in concept, the currency swap was too harshly applied by the CBN given the number of unbanked Nigerians.
“The policy shall be reviewed. In the meantime, my administration will treat both currencies as legal tender.”
Tinubu promised affordable electricity to homes and businesses, adding that power generation capacity will be doubled.
He said he would also review complaints on multiple taxation so as to boost the economy and attract investors.
He also said his administration is targeting a Gross Domestic Profit of not less than 6% growth.
“Hope is here,” Tinubu ends his inaugural speech.