Nigerians may face even tougher times as the World Bank advises the Federal Government to increase the pump price of Premium Motor Spirit (PMS). The World Bank claims that the government, despite removing the fuel subsidy on May 29, 2023, may still be paying for it. The suggested price hike is from the current N650 to N750 per litre.
The revelation was made by the World Bank’s Lead Economist for Nigeria, Alex Sienaert, during the presentation of the Nigeria Development Update on December 13, titled ‘Turning The Corner.’ Sienaert argued that the current fuel price is not cost-reflective, urging an upward review.
This advice comes amidst the hardships caused by the subsidy removal in May, with fuel prices surging from N195 to as high as N577. Currently, Nigerians are paying N650 in some cities, contributing to rising inflation, particularly in food prices.
Stakeholders, including the Nigeria Labour Congress (NLC), Peoples Democratic Party (PDP), and others, have strongly criticized the World Bank’s recommendation. NLC spokesman, Beson Upah, warned against heeding the advice, emphasizing that the current fuel price has already wreaked havoc on the country.
PDP’s National Publicity Secretary, Hon. Debo Ologunagba, blamed the IMF and World Bank for Nigeria’s economic woes and criticized the call for a fuel price increase as thoughtless and unacceptable.
Dr. Yunusa Salisu Tanko of the Labour Party Presidential Campaign Council accused the World Bank of attempting to continue colonizing African countries and emphasized the need for creative leadership, suggesting the building of refineries in each geopolitical zone.
On the contrary, APC chieftain Mr. Mathew Adah reassured Nigerians that President Tinubu, being intelligent, will take necessary actions without causing undue hardship, urging patience.
The potential fuel price hike has sparked concerns about further impoverishment of the masses, with stakeholders cautioning against heedless decisions that may exacerbate the country’s economic challenges.”