Drop Removal Of Oil Subsidy Plan, Action Aid Tells FG

The Federal Government has been called upon to block areas of leakages in the management of the nation’s economy, rather than removing subsidy on oil, in order to make life more meaningful for the people.

The Country Director, Action Aid Nigeria Dr Hussaini Abdu, made the call on Wednesday in Abuja while fielding questions from Journalists at a news conference.

“A review in the accountability process and a reform of the system would help in re-building the economy of the nation rather than removal of fuel subsidy.”

“As proposed by Federal Government, any increase of pump price of fuel product would push food prices now or in future will definitely undermine all national and global efforts to alleviate hunger.”

Abdu, who decried the level of poverty in the country, said that over 12 million people were undernourished.

He said that “nearly a third of children are underweight and 38 percent of children show signs of chronic malnutrition”.

He argued that if the subsidy was removed, the value chain on agriculture would be seriously affected.

The country director said the cost of production, processing, storage and marketing of agricultural produce should be increased at every stage.

Abdu said the objective of the proposed management team of the fuel subsidy proceeds might not be realised in view of corruption in the country.

He point out that “the money will also go down the same lane as in the case of previous subsidy.

“You cannot invest in the life of the poor by removing fuel subsidy in the middle of corruption, misappropriation of fund and insecurity.

“And such issues should be addressed and not fuel subsidy, which will further harm the economic system.”

Abdu stressed the need for accountability and transparency, adding that the activities of the petroleum sector should be opened for public scrutiny.