Tinubu: I Inherited a Near-Collapsed Economy

President Bola Ahmed Tinubu has said that the Nigerian economy was on the verge of collapse when he assumed office in May 2023.

In his Independence Day broadcast on Wednesday to mark Nigeria’s 65th anniversary, Tinubu blamed decades of fiscal distortions and misaligned policies for crippling real growth before his administration came into power.

“Upon assuming office, our administration inherited a near-collapsed economy caused by decades of fiscal policy distortions and misalignment that had impaired real growth,” Tinubu stated.

He explained that his government faced a stark choice between maintaining the status quo or embarking on sweeping reforms to reset the economy. “We chose the path of reform,” the president said.

Among the major decisions was the removal of the petrol subsidy and the unification of multiple foreign exchange rates. Tinubu argued that the subsidy system was corrupt, enriching only a minority while ordinary Nigerians benefitted little.

The removal of subsidy, however, triggered sharp increases in fuel prices, which in turn led to higher costs of goods and services, plunging millions into hardship.

While critics and some economists have faulted the reforms as harsh and poorly timed, Tinubu maintained that they were necessary sacrifices to secure the nation’s future.

“We chose the path of tomorrow over the comfort of today. Less than three years later, the seeds of those difficult but necessary decisions are bearing fruit,” he assured.