Nigeria’s President Tinubu insists that subsidy removal and unification of currency rates are the right moves

• President Tinubu reiterates his commitment to eliminating fuel subsidies and unifying currency rates to boost Nigeria’s economic competitiveness. 
• Nigeria welcomes foreign investments and emphasizes key sectors for investment, including infrastructure, health, energy, and agriculture. 
• Afreximbank and EBRD express support for Nigeria’s economic reforms and pledge assistance in revitalizing the economy, with a focus on SMEs and private sector development.

President Bola Ahmed Tinubu has reaffirmed his commitment to upholding the elimination of fuel subsidies and the unification of Nigeria’s currency rates, as these actions are anticipated to help the nation’s economy become more competitive.

The president made his stance clear on June 22 when speaking with a group from the Africa Export-Import Bank (Afreximbank) at the Summit for New Global Financing Pact that was taking place at the time in France. He underlined that a competitive Nigeria will draw Foreign Direct Investments (FDIs), hence boosting the nation’s economic development.

President Tinubu said that his administration will keep up economic policy initiatives and investment assistance for industries in which Nigeria has a competitive edge. He emphasized the importance of Nigeria’s infrastructure, health, energy, and agriculture sectors in particular since he thinks these areas have a lot of room for investment, as seen in Nairametrics, a Nigerian business news agency.

Tinubu advised the Afreximbank team, which was led by Dr. Benedict Oramah, the company’s president and chairman of the board of directors, to take advantage of the economic prospects in Nigeria.

“We are ready for business, prepared to welcome investments. We need reforms for national survival. We must stimulate recovery for the growth and prosperity of our people, which will not be far away. Nigeria is ready for global business and our reform is total.” Tinubu said.

Dr. Oramah, the President of AfreximBank, responded by praising President Tinubu for his audacious actions in ending the gasoline subsidy and unifying the currency rate. He promised Tinubu that AfreximBank would help him fully as he worked to overhaul the economy.

The first African Specialist Hospital is already being built in Abuja, according to Dr. Oramah, and Energy Bank has promised to pump additional money into the economy to boost investor confidence.

President Tinubu also had a meeting with Odile Renaud-Basso, the head of the European Bank for Reconstruction and Development (EBRD). He brought up the readiness of Nigeria’s economy to be opened up for business at the discussion.

“We are challenged in terms of reforms, and we have taken the largest elephant out of the room with the removal of fuel subsidy, and multiple exchange rates are equally gone. We are determined to open up the economy for business. Consider us a stakeholder in the Bank. Ignoring Nigeria will be a peril to the universe,” the president added.

After analyzing six possible economies for investment, Renaud-Basso said that it would be a mistake for the development bank to refrain from investing in Nigeria. She stated that the private sector, particularly Small and Medium Scale Enterprises (SMEs), will be the EBRD’s primary priority.