According to a report by Daily Post on Thursday, October 23, 2025, Nyesom Wike, the Minister of the Federal Capital Territory (FCT), has described President Bola Tinubu’s removal of the fuel subsidy as a bold step that has started yielding positive results.
He explained that although the decision was initially met with public resistance, it has gradually created stability in the economy and improved revenue generation for states across the country.
The minister made this known while addressing issues surrounding the economic reforms introduced by the Tinubu administration.
He noted that the removal of the subsidy was a tough but necessary action aimed at reducing the financial burden on the federal government and creating room for more sustainable economic growth.
According to him, the effects are now becoming visible through increased allocations and improved financial inflows to the states.
Wike emphasised that before the removal of the fuel subsidy, the federal government struggled with low monthly allocations that limited the ability of states to meet financial obligations.
He said that the current system now allows states to access more funds from the federation account, helping them execute more development projects and meet public needs more efficiently.
He explained that states now receive about N2 trillion monthly from federal allocations, a development that was impossible under the previous fuel subsidy regime.
The minister stressed that such improvement in revenue sharing demonstrates the impact of the president’s economic policies and his determination to reform the system for the benefit of all Nigerians.
Wike pointed out that the decision to end the subsidy was not made lightly but was carefully considered in light of the nation’s economic challenges.
He maintained that the policy has created a fairer distribution of resources among states and enhanced transparency in fiscal management.
The minister added that the administration’s ongoing reforms are focused on long-term economic stability rather than short-term popularity.
He also highlighted that the improved revenue has enabled many state governments to plan and implement infrastructural projects that were previously difficult due to limited funds.
This, he said, is gradually contributing to better service delivery, improved governance, and increased confidence in the administration’s commitment to national development.
Wike reaffirmed his support for the president’s decisions, saying they have started to reshape the financial landscape of the country.
He expressed optimism that with continued commitment and prudent management, the positive effects of the reforms will become more visible across all sectors, strengthening the economy and improving the living conditions of Nigerians.
Wike said: “500 billion naira in a month for the federation. Never. I’ve never had more than 10, 15 billion a month.
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