Subsidy Removal: President Tinubu Reveals Actual Amount Released to Governors For Palliative

President Bola Tinubu has disclosed that his administration only released N2 billion from the N5 billion promised to each of the 36 states for palliatives to cushion the effect of the removal of the fuel subsidy.

According to The Nation, the N2bn released was to mitigate the sharp increase in inflation if the N5bn had been released.

President Tinubu disclosed this on Friday, September 1, through his minister of finance and coordinating minister of the economy, Wale Edun, who gave his maiden press briefing in Abuja.

According to Edun, the Tinubu administration was mindful of the consequences that followed his action, so it opted to stagger the release of the palliative funds.

He further disclosed that the funds came from “a blend of grants to and borrowing by the state governments”.

According to the minister: “The president is going to deliver a better life to Nigerians by encouraging investment that increases productivity that grows the economy, thereby creating jobs and reducing poverty”.

The federal government had On Thursday, August 17, announced the N5bn palliative to each of the 36 states in Nigeria and 180 trucks of rice as part of its move to cushion the effect of removing the fuel subsidy.

Borno State governor Babagana Zulum made this announcement on Thursday during an interactive session with State House correspondents in Abuja.

Zulum after the statutory meeting of the National Economic Council (NEC) chaired by Vice-President Kashim Shettima also said that the federal capital territory (FCT), Abuja will also receive N5bn as palliative.

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