The Federal Government is set to finally remove fuel subsidies replace it with N5,000 a month transport grant to the poorest Nigerians.
The Minister of Finance, Budget and National Planning, Zainab Ahmed, disclosed that the FG will remove fuel subsidies by 2022.
Speaking on Tuesday at the launch of the World Bank Nigeria Development Update (NDU), the minister further disclosed that the grant will go to about 30 to 40 million Nigerians captured in the poorest population category.
She said: “The subsidies regime in the (oil) sector remains unsustainable and economically disingenuous.
“Ahead of the target date of mid-2022 for the complete elimination of fuel subsidies, we are working with our partners on measures to cushion potential negative impact of the removal of the subsidies on the most vulnerable at the bottom 40% of the population.
“One of such measures would be to institute a monthly transport subsidy in the form of cash transfer of N5,000 to between 30 – 40 million deserving Nigerians.”