Peter Obi, the Labour Party’s presidential candidate in the 2023 general election, has said that although he supports the removal of fuel subsidy and the floating of the naira, he would have implemented both policies in a more gradual and organised manner if elected president.
Speaking in an interview with Arise Television on Monday, the former Anambra State governor criticised the current administration’s handling of the reforms, calling the execution abrupt and poorly managed.
“I have consistently maintained that I would have removed the fuel subsidy,” Obi said. “It’s clearly stated in my manifesto, along with the steps I would have taken to do so in an organised way.
The problem is not with the policy itself but with the chaotic manner in which it was implemented.”
Obi described the subsidy regime as plagued by “criminality and corruption,” stressing that its removal was necessary.
However, he questioned the government’s use of the funds reportedly saved from ending the subsidy.
“We were told it was removed to stop borrowing and redirect funds to critical infrastructure.
Billions have been saved—so where is the money? Has it been invested in development sectors like education, health, or poverty alleviation? The answer is no,” he said.
On the matter of currency policy, Obi expressed support for floating the naira but argued that such a move should come only after steps have been taken to boost domestic productivity.
“There’s nothing wrong with floating your currency. But you do it when your economy is productive,” he explained.
“My approach would have involved first strengthening sectors like agriculture and manufacturing before taking such a step.”
He concluded by reiterating that, while he agrees with the core ideas behind the policies, the implementation should have been handled more carefully.
President Bola Tinubu announced the end of fuel subsidy during his inauguration on May 29, 2023.
The decision led to a sharp increase in fuel prices, which rose from ₦190 to over ₦850 per litre.