Atiku Abubakar's Fuel Subsidy Comments Spark Debate

Atiku Abubakar, during the 2019 presidential election campaign, stated he would not enrich his family but his friends, raising concerns about crony capitalism. His recent comments on petrol subsidies suggest he favors a limited subsidy linked to domestic refining rather than reinstating the previous imported petrol subsidy regime.

Critics argue that petrol subsidies primarily benefit wealthier Nigerians, as the direct benefits follow consumption. Only about 10% of Nigerian households own vehicles, and in rural areas, ownership is as low as 5%.

Consequently, poorer households, which do not purchase petrol, receive no direct subsidy benefits. For instance, filling a large SUV can cost approximately ₦120,000 to ₦130,000, while Nigeria's minimum wage is ₦70,000, illustrating the disparity in subsidy benefits based on wealth and consumption.