Economy

By Sabiu Abdullahi

The Special Assistant to President Bola Tinubu on Constituency Affairs, Khadijat Omotayo, has appealed to Nigerians to refrain from criticizing the President over the removal of fuel subsidy.

Speaking at a town hall meeting in Jos, Plateau State, on Saturday, Omotayo emphasized that Tinubu’s decision was aimed at improving the country’s economy.

The gathering was attended by various stakeholders, including market women, youth groups, labor leaders, farmers, traditional rulers, government officials, and students.

She explained that the revenue generated from the subsidy removal had been allocated to all states, and the President had already approved an increase in workers’ salaries, with further increments expected during his tenure.

Omotayo highlighted Tinubu’s commitment to national unity, pointing to her presence in Plateau, a state governed by the opposition Peoples Democratic Party (PDP), as evidence of his willingness to work with all Nigerians.

She also praised Plateau State Governor Caleb Mutfwang for his efforts in fostering democracy and inclusivity.

She stated, “I don’t expect us at this point to keep attacking Mr. President, who wants dividends of democracy to go down the states. If Mr. President is a partisan politician, he won’t let me come to Plateau State, as we all know it is a PDP state. But I’m here to represent him just because he wants to carry everybody along.”

Defending the government’s policies, she noted that President Tinubu had introduced a student loan scheme benefiting all regions, allowing students to access loans without collateral.

“The students are talking about free education, and Mr. President has initiated free loans for the students. All regions are benefitting from this loan. Tell a friend to tell a friend; tell a mother to tell a brother, tell a father to tell a brother. There is a free student loan without collateral. What do you want again?” she asked.

Omotayo called on Nigerians to support the government’s initiatives and urged citizens to hold their representatives accountable rather than directing their frustrations at the President.

Governor Mutfwang, represented by the Plateau State Commissioner for Youths, Musa Ashoms, appreciated Tinubu’s support for Plateau and reiterated his administration’s commitment to development.

He stated, “Mr. President is doing a lot for us in Plateau, but like Oliver Twist, we are only asking for more. Like you said Emilokan, as Plateau State, it is our time for development.”

The town hall meeting provided an opportunity for citizens to engage with government representatives and discuss pressing national issues.

By Maryam Ahmad

Tesla is experiencing a sharp decline in sales across Europe and the UK, with analysts pointing to CEO Elon Musk’s political controversies as a key factor.

In January, Tesla sales plummeted by 59.5% in Germany compared to the previous year despite an overall rise in electric vehicle (EV) registrations. France recorded an even steeper drop of 63%, while UK sales fell by 8%, with no Tesla model ranking among the top 10 best-selling cars.

Industry experts suggest Musk’s public support for far-right figures and controversial statements have alienated European consumers, many of whom favour progressive policies. This backlash, coupled with Tesla’s ageing model lineup and delays in launching the refreshed Model Y, has led potential buyers to turn to competitors.

While Tesla remains a dominant force in the global EV market, the recent downturn underscores the growing impact of Musk’s political stance on the company’s brand and sales performance.

By El-Yassar Ahmad

Kano State’s recent ₦2.5 billion expenditure on a mass wedding initiative has sparked widespread criticism for being a poor use of public funds. At a time when the state faces significant challenges in sectors such as power supply, education, healthcare, and transportation, many believe this substantial sum could have been better invested in addressing these critical needs.

While states like Lagos prioritise infrastructure and sustainable growth—evidenced by Governor Babajide Sanwo-Olu’s ₦3.5 billion investment in power generation—Kano’s leadership is drawing attention to what is seen as frivolous taxpayer spending. 

Many people, especially on social media, argue that such spending represents a missed opportunity to improve the lives of Kano’s citizens through long-term, impactful development.

This underscores a concerning trend of mismanagement and a lack of transparency that hinders progress in the state. Public resources ought to be invested in projects that meet the fundamental needs of the populace—healthcare, education, and essential services—rather than wasted on short-term initiatives that provide minimal enduring benefit.

It is high time for Kano’s leadership to reassess its priorities and ensure that public funds are used responsibly for the betterment of its citizens. Only through strategic investment in infrastructure and services can the state attain meaningful progress and enhance the quality of life for its people.

By Usman Abdullahi Koli

I read Professor Farooq A. Kperogi’s article “Emir Sanusi’s Quid Pro Quo for His Friends Turned Fiends” with keen interest. While it was well-written and rich in rhetorical flair, I believe it unfairly misrepresents the character and contributions of His Highness Emir Muhammadu Sanusi II and the broader context of his remarks. My intention here is not to disparage Mr. Kperogi or his intellectual depth but to offer a more nuanced perspective based on facts and a balanced understanding.

Sanusi’s commentary on economic reforms is not new, and it is not driven by self-interest, as the article implies. His economic positions, controversial as they may be, have always been rooted in his commitment to transparency, accountability, and fiscal prudence.

As governor of the Central Bank of Nigeria (CBN), Sanusi spearheaded reforms that stabilised the financial sector and exposed corruption, notably the mismanagement of funds in the petroleum industry. His leadership saved the Nigerian banking system during the 2009 global financial crisis. These efforts reflect a consistent commitment to economic pragmatism, not the “self-loving sadism” Mr. Kperogi ascribed to him.

At the Gani Fawehinmi Memorial Lecture, Emir Sanusi addressed Nigeria’s economic challenges within a historical framework, highlighting how years of poor management led to today’s difficulties. His statement about not defending the current government’s policies was not a quid pro quo demand but an expression of discontent over the failure of political leaders to reciprocate loyalty or act decisively for national progress.

Sanusi’s critique of governance has often transcended personal affiliations. For instance, he openly criticised the Goodluck Jonathan administration despite being part of the government apparatus, risking his career in the process. His comments in the lecture reflect this same principle: his loyalty is to ideas, not individuals.

The article unfairly caricatures Sanusi as an unrepentant neoliberal apologist indifferent to the suffering of the masses. While he has supported subsidy removal and exchange rate harmonisation, his positions are informed by Nigeria’s fiscal realities. Subsidy regimes, historically marred by corruption and inefficiency, drained trillions of naira from public coffers without addressing systemic energy sector challenges.

Critics often overlook the fact that subsidies disproportionately benefit the elite rather than the poor. Studies by organisations like the World Bank and Nigeria’s Budget Office have shown that wealthier Nigerians consume more fuel and thus benefit more from subsidies. Sanusi’s advocacy for subsidy removal aims to redirect these funds toward targeted interventions, such as healthcare, education, and infrastructure, which directly benefit the masses.

Contrary to the claim that Sanusi derives “delight from the misery of the masses,” he has consistently called for equitable resource allocation and the empowerment of marginalised communities. As emir, he launched initiatives to promote girl-child education, gender equity, and poverty alleviation in Kano State. His reforms in the Kano Emirate Council prioritised addressing social injustices that have long plagued Northern Nigeria.

For instance, his campaign against child marriage and his emphasis on the importance of education for girls drew both applause and backlash. These efforts single out his commitment to social progress and human dignity.

Mr Kperogi’s passionate critique of Sanusi’s remarks offers no clear alternative solutions to Nigeria’s economic woes. If we agree that Nigeria’s economy has suffered from decades of mismanagement, what is the path forward? Should we continue subsidising consumption at the expense of critical investments? Sanusi’s prescriptions, while debatable, are at least anchored in economic logic and long-term sustainability.

Nigeria’s challenges require a balanced, solutions-driven discourse. Reducing complex issues to personal attacks or dismissing individuals who have contributed significantly to national development is unproductive. Emir Sanusi’s positions are not beyond critique, but such critiques should engage with the substance of his arguments rather than resorting to ad hominem attacks or speculative interpretations of his motives.

Nigeria stands at a crossroads, and leadership—whether in government, traditional institutions, or civil society—must rise to the occasion. While Emir Muhammadu Sanusi II is not infallible, his track record of service, advocacy, and reform warrants a more balanced appraisal. Let us concentrate on fostering a Nigeria where ideas are debated with civility and respect, rather than transforming crucial national discussions into platforms for derision.

Usman Abdullahi Koli is a public relations expert, writer, and advocate for balanced public discourse. He can be reachedvia mernoukoli@gmail.com.

By Anwar Usman

The Emir of Kano, Malam Muhammadu Sanusi II, has made it clear that he will not use his expertise to address Nigeria’s economic challenges simply because he is unwilling to assist the Tinubu administration.

As a certified economist and former CBN governor, Sanusi made this assertion while speaking at the 21st anniversary of Fawehinmiism with the 2025 Gani Fawehinmi Annual Lecture held today at the Lagos Airport Hotel in Ikeja, Lagos state.

He stated that “explaining the economic crisis would simply provide solutions to the lingering economic problems and pave the way for the proliferation of Nigeria’s economy.” 

While speaking, the Emir emphasised that despite being a good friend to the government, he would not offer any solutions that could help the administration achieve its goals. 

He criticised the Tinubu administration, stating they lacked credible and competent people who could explain the persistence of economic constraints on Nigerians.

He reiterated, “I’m not going to discuss any of the problems, let alone provide an insight to navigate this challenging period”.

Instead of offering solutions, Sanusi shifted the responsibility to the administration, saying, “It’s up to them to explain to Nigerians why their policies keep failing. He attributed the current economic woes to decades of unnecessary economic reforms.”

By Anas Abbas

BUA Refinery and petrochemicals has dismissed a report claiming that its 200,000 barrels/day refinery is 90% complete, describing it as misleading and inaccurate.

In a statement, The Daily Reality, gathered that, the company urged the public to disregard these misleading claims, emphasizing that they did not originate from BUA company.

The company confirmed that construction is progressing steadily and remains on track to meet its delivery timelines in collaboration with partners.

The Akwa Ibom refinery project is seen as a significant step towards enhancing Nigeria’s refining capacity and energy security.

In addition to the refinery, BUA is also advancing other energy initiatives, including a mini-LNG plant and new hybrid power plants across the country, aimed at increasing its existing captive power generation capacity of over 1,000 megawatts.

BUA also, encouraged the public to verify information through its official channels to avoid being misled by false reports. The company reiterated its commitment to transparency and excellence, noting that it has successfully completed over 12 major industrial projects worth more than $3.5 billion in the last decade.

As the Akwa Ibom project progresses, BUA expressed appreciation for the publics’ interest and support, affirming its dedication to building a robust industrial and manufacturing base for a self-reliant Nigeria.

By Usman Abdullahi Koli

As 2025 begins, Nigeria is grappling with an unprecedented economic crisis. Inflation is at an all-time high, the cost of living continues to skyrocket, and millions of Nigerians struggle to make ends meet. Against this backdrop, President Bola Ahmed Tinubu, in his maiden media chat, aired on December 23, 2024, reaffirmed his commitment to the controversial reforms that have significantly reshaped the nation’s economic landscape. For many Nigerians, his steadfastness in the face of public outcry has been both perplexing and polarising.

During the televised chat, Tinubu made it clear that he has no regrets about the swift removal of the fuel subsidy, a decision he implemented on May 29, 2023, immediately after assuming office. “I made the swift decision to preserve Nigeria’s future and that of generations yet unborn,” he stated. The move, he argued, was necessary to redirect funds toward critical infrastructure and social investments. However, while the rationale may have been rooted in long-term sustainability, its immediate impact on ordinary Nigerians has been devastating.

The President also defended his administration’s tax reform bills, currently before the National Assembly, insisting they were essential to Nigeria’s economic recovery. Despite significant pushback, particularly from Northern leaders who feared the reforms could deepen regional disparities, Tinubu maintained that these policies were non-negotiable. “The tax reforms have come to stay,” he declared, further solidifying his reputation as a leader unwilling to waver, even in the face of widespread criticism.

For the average Nigerian, these reforms have translated into unbearable economic hardship. Inflation rose to an alarming 33.95% in November 2024, up from 22.41% in May 2023. The cost of basic commodities such as food, fuel, and transportation has nearly doubled, pushing millions below the poverty line. The removal of the fuel subsidy, intended to save the government trillions of naira annually, has led to an exponential increase in the cost of petrol, which now hovers around ₦1000 per litre.

The ripple effects are evident everywhere. Transport fares have tripled, food prices are beyond the reach of many families, and small businesses are folding under the weight of operating costs. According to the National Bureau of Statistics, unemployment rose from 33.3% in Q1 2023 to 40% in Q3 2024, leaving millions without a source of income. For many Nigerians, survival has become a daily struggle, with no immediate relief in sight.

While President Tinubu’s reforms undoubtedly aim to stabilise the economy and ensure fiscal responsibility, their execution has lacked a critical human element. Policy changes of this magnitude require technical precision, empathy, and strategic cushioning to mitigate their impact on vulnerable populations. Governments worldwide that have implemented subsidy removals or tax reforms have typically done so gradually, accompanied by robust social safety nets.

In Nigeria, the absence of significant palliatives has amplified the suffering of the masses. The promised conditional cash transfers and mass transit buses remain primarily theoretical, leaving citizens to bear the brunt of these reforms unaided. The government urgently needs to adopt a more holistic approach that balances fiscal discipline with the immediate needs of its people.

As a writer, it has been my habit to pen a year-in-review piece every December, reflecting on the highs and lows of the past year. This year, however, I chose to wait until President Tinubu’s address to the nation, hoping for a message of hope or at least a roadmap to alleviate the suffering of Nigerians. Unfortunately, his reaffirmation of policies exacerbating the economic crisis offers little comfort.

The government must urgently prioritise measures to ease Nigerians’ economic burden. Initiatives such as targeted subsidies for essential goods, tax relief for low-income earners, and the accelerated implementation of promised palliatives could provide immediate relief. Additionally, robust dialogue with stakeholders, particularly those from regions expressing concerns, is critical to fostering a sense of inclusion and national unity.

President Tinubu’s vision for a self-reliant Nigeria is commendable, but the path to achieving it cannot come at the expense of the people’s well-being. Economic reforms must be designed to stabilise numbers and improve lives. As the nation stands at a crossroads, the government has an opportunity to recalibrate its approach, demonstrating that it is not only fiscally responsible but also deeply empathetic to the struggles of its citizens.

Nigerians’ resilience is unmatched, but resilience alone cannot drive a nation forward. It is time for governance that is as humane as it is ambitious—leadership that listens, learns, and adapts. As 2025 approaches, the hope is that the lessons of the past year will inspire a more inclusive and compassionate governance style, ensuring that no Nigerian is left behind in the pursuit of progress.

Usman Abdullahi Koli wrote via mernoukoli@gmail.com. 

By Rabiu Alhassan Elkanawi

As Nigeria continues to champion financial inclusion and socio-economic development, KAYI Microfinance Bank has taken a decisive step to address the needs of remote communities through an initiative named Grassroots Empowerment and Engagement Project.

Recognising the unique challenges faced by Tsangaya (Almajiri) schools in Northern Nigeria, KAYI Bank has launched a pilot program across four states—Kano, Katsina, Kaduna, and Jigawa—targeting these centuries-old learning centres to boost financial literacy, entrepreneurial activities, and access to digital banking services.

Tsangaya schools have traditionally offered Islamic knowledge, basic literacy, and numeracy skills, primarily in Arabic. Many of these centres are located in areas with little or no access to conventional banking facilities, leaving them vulnerable to financial exclusion. Poverty and unemployment continue to be rampant in these communities, where students (almajirai) often resort to street begging to meet their needs. This new program by KAYI Microfinance Bank directly tackles these issues by positioning Tsangaya instructors and leaders as community champions of digital financial inclusion and economic empowerment.

Piloted in August 2024, the program provides each participating Tsangaya school with a range of resources valued at about five million naira. This includes training sessions on financial literacy, business management, and start-up funds. These investments enable each school to establish and operate a cash point business, offering critical services such as deposits, withdrawals, and transfers. By eliminating the need for community residents to travel long distances to access banking, the initiative significantly cuts costs and eases residents’ financial transactions.

The empowering nature of this approach promotes trust in financial institutions. Community members can interact with familiar faces—teachers and leaders from the Tsangaya schools—who have undergone comprehensive training to provide financial literacy and other training to the community and effectively manage these cash points. Over time, the program will enhance economic engagement, stimulate local entrepreneurship, and help reduce poverty rates in historically underserved regions.

By placing financial tools within reach of marginalised populations, KAYI’s initiative offers a sustainable solution. Stakeholders, including students, parents, and local traders, gain firsthand exposure to the benefits of digital banking. Basic financial concepts—saving, budgeting, and prudent money management—are introduced in an environment that respects the community’s cultural norms and values.

This program’s potential extends beyond immediate monetary benefits. Supporting Tsangaya schools contributes to the broader goal of social development and community upliftment. If children have better prospects for skills acquisition and financial stability, fewer may be compelled to resort to street begging. Building trust and familiarity with digital banking services encourages more people to open savings accounts, apply for microloans, and engage in entrepreneurial endeavours.

KAYI Microfinance Bank’s efforts align with the broader objectives of financial inclusion strategies set by the Central Bank of Nigeria (CBN). With many remote regions in the North still lagging in access to credit and other essential banking products, the bank’s model provides a blueprint for how financial institutions can partner with local leaders to overcome distrust and logistical barriers. Further replication of this approach will likely spur economic activities, reduce unemployment, and help alleviate poverty.

As the pilot program continues, KAYI plans to monitor and measure outcomes to refine and expand the model. The ultimate goal is to replicate the initiative across more states in Northern Nigeria and beyond. The bank envisions a future where every region, no matter how remote, can participate actively in the digital financial system, thereby nurturing entrepreneurship and uplifting entire communities.

KAYI Microfinance Bank is a beacon of corporate social responsibility. By creating a culture of financial literacy among grassroots populations, the bank has set a high standard for other financial institutions to follow. By merging profit-driven objectives with a genuine commitment to social impact, the bank has created a virtuous cycle: stronger local economies, lower poverty rates, and a more inclusive financial ecosystem that can drive sustainable development across Nigeria.

Rabiu Alhassan Elkanawi writes from Kano, and he can be reached via email at alhassanelkanawi@gmail.com.

By Uzair Adam 

President Bola Ahmed Tinubu expressed optimism about brighter prospects for Nigerians in 2025 in his New Year message. 

He highlighted economic improvements, such as reduced fuel prices, strengthened foreign reserves, and increased foreign investments, and attributed them to his administration’s efforts.  

Tinubu acknowledged challenges like high food and drug costs and pledged to tackle inflation, aiming to lower it from 34.6% to 15%. 

He announced plans to expand credit access by establishing a National Credit Guarantee Company to begin operations by mid-2025 to boost economic growth and support underserved groups.  

The president called for unity, urging Nigerians to avoid divisive tendencies and remain focused on building a prosperous nation. 

He reaffirmed his commitment to reforms, emphasising his goal of achieving a one trillion-dollar economy.

By Uzair Adam

President Bola Ahmed Tinubu has reiterated his administration’s unwavering commitment to implementing tax reforms, emphasizing their importance for Nigeria’s economic transformation.

The Daily Reality reports that the president made this assertion during his first presidential media chat on Monday night in Lagos State.

The proposed reforms, encapsulated in several bills before the National Assembly, include the Nigeria Tax Bill, Nigeria Tax Administration Bill, Nigeria Revenue Service Establishment Bill, and the Joint Revenue Board Establishment Bill.

Despite facing backlash, particularly from Northern leaders, and prompting calls for further consultation, Tinubu defended the reforms as being pro-poor and aimed at restructuring outdated colonial tax structures.

“Tax reform is here to stay,” Tinubu stated, adding, “In today’s economy, we cannot continue to rely on outdated systems.

“The essence of these reforms is to eliminate colonial-based assumptions in our tax environment. The vulnerable will not be subjected to taxation.”

Addressing concerns about the controversial Value-Added Tax sharing model, the President expressed his willingness to engage in negotiations but insisted that the reforms would proceed.

“Tax matters are subjects of debate, reviews, and negotiations until consensus is reached,” he said.

Tinubu also remarked that good leadership requires decisive actions at critical moments.

“The hallmark of a good leader is the ability to do what you have to do when it needs to be done. That is my philosophy,” he added.

The proposed tax reforms aim to create a fairer tax system, though Tinubu acknowledged that they might not be universally accepted.