Goment plan to spend N750 billion on fuel subsidy no make sense - Economic sabi pesin
Wia dis foto come from, Getty Images
Nigerian Economic sabi pesin, Professor Paul Alaje don yab Nigeria goment plan to spend 750.81 billion naira ontop fuel subsidy for 2020, say e no make sense at all.
Na di latest data from Petroleum Products Pricing Regulatory Agency show dis informate.
For more dan two years, di Nigerian National Petroleum Corporation don dey shoulder fuel subsidy for Federal goment.
Prof Alaje wey be Senior Economist for SPM Professionals tell BBC Pidgin say, "As goment dey plan to spend dis kain moni on fuel subsidy, e mean say di moni wey we dey use construct road, do light and oda projects no go too dey again. Because moni wey you put for subsidy no be for development, na just moni wey pipo go chop."
Im explain say subsidy no go benefit di poor like some pipo dey tink but na di pipo wey already get moni e go favour becos na dem get moto, generator and oda tins wey need fuel.
Economic analysts and advisors for di kontri don dey hala for some years now for goment to comot di fuel subsidy sake of say Nigeria no fit afford am but plenti kontri pipo dey against am.
But di wahala wey go happen if goment comot fuel subsidy be say "e go increase fuel price and dat one go make di transport moni increase for kontri pipo wey no get moto," na so di Prof tok.
Wia dis foto come from, Getty Images
Di solution wey Prof Alaje bring come for goment to reduce how di removal of fuel subsidy go affect di average kontri man, na for dem to bring big-big buses wey fit carry plenti pipo and still charge di same transport moni like di small-small buses or even lower.
End of Di one wey oda users dey read well well
"Dis one go make rich pipo to spend less on fuel or even sell some of dia moto. Den we no go dey consume di kain fuel wey we dey consume. So subsidy removal go get benefits well-well," Prof Alaje add.
One naira no go reduce from fuel price
Wia dis foto come from, Getty Images
Some pipo dey get hope say as goment dey plan to spend dis kain big moni ontop fuel subsidy, e fit make fuel price come down.
But Prof Alaje tok say lai lai, dat one no go happen.
Im explain say na global demand and supply dey regulate fuel price, no be by subsidy.
"Because naira don dey weak and di moni wey dey our foreign reserve don dey go down, wahala don enta for di value of our fuel for di global market," Prof Alaje add.
Im warn say if we no dey careful, fuel price fit go up.
