Mbah warns subsidy return could weaken naira, scare off investors

Enugu State Governor Peter Mbah has backed President Bola Tinubu’s decision to remove petrol subsidy, insisting that Nigeria cannot return to the policy despite calls from opposition politicians for its restoration.

Mbah described the removal as a decision that should no longer be debated, aligning himself with the president’s position that reversing the reform would be a step backwards for the country.

The governor’s comments come amid renewed political debate over fuel subsidy ahead of the 2027 general election, with opposition figures proposing measures to reduce petrol prices and, in some cases, restore government support for fuel costs.

Tinubu announced the removal of petrol subsidy during his inauguration on May 29, 2023, triggering an immediate increase in pump prices and adding to the cost-of-living pressures faced by households and businesses.

The president has repeatedly defended the decision, arguing that the government could no longer sustain the financial burden associated with the subsidy regime.

Speaking at a political engagement in Abuja on October 19, Tinubu again ruled out a return to the policy, using the biblical account of Moses and the Israelites leaving Egypt to argue that Nigeria should not reverse course.

The president maintained that the country needed to move forward with its economic reforms rather than return to the previous arrangement.

Mbah’s position reinforces the administration’s argument that subsidy removal was necessary to address longstanding economic challenges, although the policy continues to attract criticism over its impact on transport costs, food prices and household spending.

The debate has become increasingly prominent as political parties and presidential hopefuls begin to outline their economic proposals ahead of the 2027 election.

Former Vice-President Atiku Abubakar has previously indicated support for restoring petrol subsidy if elected president, while other opposition figures have also advocated measures to bring down fuel prices.