Nigeria Rejects Fuel Subsidy Return, Warns of N20 Trillion Annual Cost

The Nigerian government has rejected calls to bring back petrol subsidies. It warns that returning to the old price could cost more than N20 trillion every year. Taiwo Oyedele, Minister of Finance and Coordinating Minister of the Economy, said the move could also weaken the exchange rate to about N3,000 per dollar. Petrol could then sell for at least N2,000 per litre. The government removed the subsidy as part of broader economic reforms. Critics have since asked for its return as fuel prices and living costs rise. Officials say restoring the subsidy is not sustainable. They argue it would put heavy pressure on public finances and the naira.