President Bola Ahmed Tinubu last week announced some palliative measures to cushion the biting effects of the removal of fuel subsidy in a nationwide broadcast on the current economic challenges. Since the hasty removal of the subsidy, prices of food items, cost of living, fuel price and transport fares have spiraled beyond the reach of millions of Nigerians. Earlier, the Tinubu administration had announced its plan to give N8,000 to 12 million Nigerians for six months under a conditional cash transfer programme but was quickly dropped following strident opposition from Nigerians.
Under the new palliative measures, the government plans to use N75billion to fund 75 enterprises at nine per cent interest per annum; N125 billion for MSMEs; N75billion for 100,000 MSMEs and start-ups with N500,000 to N1million at nine per cent interest per annum; N50billion as conditional grant to one million nano businesses; and N50,000 each to 1,300 small business owners in each of the 774 local government areas
In addition, the government will release about 200,000 metric tonnes of grains from strategic reserves to households across the 36 states and the Federal Capital Territory (FCT) at moderate prices; and distribute 225,000 tonnes of fertilizer, seedlings, others to farmers. And from the N500billion recently approved by the National Assembly, government will deploy N50 billion for the cultivation of 150,000 hectares of rice and maize; N50 billion for the cultivation of 100,000 hectares of wheat and cassava; and N100 billion to acquire 3,000 units of 20-seater CNG-fueled buses for states and local government areas. The president promised that all these will be accomplished between now and March next year.
Although these belated measures are not far-reaching enough, they also lack realistic timelines for adequate implementation. The measures would have been put in place before the removal of fuel subsidy. While President Bola Tinubu can still fine-tune the palliative measures in line with the present economic reality, we call for a seamless implementation of the palliative programme to ensure that every Nigerian is carried along.
We say this because the suffering in the land affects all citizens. The distribution of the palliative should not be seen as a party affair. Therefore, it should not be politicised by members of the ruling party. The implementation of the palliative measures should not be like that of former President Muhammadu Buhari, which was sectional and poorly implemented. Apart from missing out millions of Nigerians, who should have benefited from its conditional cash transfer, the programme was allegedly used by some officials of the Buhari administration to corruptly enrich themselves at the expense of the millions of Nigerians. Nigerians still remember the abuse of the COVID-19 palliative by some unscrupulous Nigerians, which eventually led to the looting of many warehouses across the country housing the food items meant for vulnerable Nigerians during the pandemic. The pitfalls of the distribution of past palliative measures must be avoided by the Tinubu administration in cushioning the effects of the current economic hardship.
Beyond the palliative measures rolled out by Tinubu, the government should do more to lessen the economic hardship Nigerians are passing through following the removal of fuel subsidy. Let the government ensure that the nation’s existing four refineries are working. Many modular refineries should also be established to complement the big ones. The reliance on imported petroleum products will continue to harm the economy. The number of poor Nigerians is increasing to the extent that no amount of palliatives will be enough to address the nation’s growing poverty. The government should do things that will benefit the majority of Nigerians.
Therefore, the promise of rolling out 3,000 20-seater buses in a country of over 200 million people is grossly inadequate and can hardly address the transportation problem in the country. The government needs to develop the railway sector, which will ensure mass transportation of people and goods. Let the palliative measures be all encompassing to reach millions of vulnerable Nigerians. The government should strive to address the socio-economic problems facing the masses.
To complement the federal government’s effort in cushioning the effects of the economic challenges, the state governors should also roll out their palliative measures. In all, let the palliatives be distributed to millions of vulnerable Nigerians.