The Minister of Finance and Coordinating Minister for the Economy, Mr. Wale Edun, has revealed that the Federation Account has experienced a significant boost in revenue since the removal of the fuel subsidy, soaring from an average of NGN650 million monthly to over NGN1 trillion in the past four months.
Edun made this announcement on Monday in Asaba during the opening ceremony of a four-day retreat organized for members of the Federation Account Allocation Committee (FAAC).
Represented by Mr. Okokon Udo, the Permanent Secretary of Finance, Special Duties, the minister emphasized that the government had long recognized the unsustainable nature of the petroleum subsidy.
According to Edun, the subsidy system had been depleting revenues that could have otherwise been allocated to fund essential expenditures crucial for the well-being of the populace. He reiterated the administration’s commitment to addressing the needs and welfare of Nigerians while emphasizing its dedication to implementing policies that prioritize the people.
Edun stated, “We all know that achieving the tax revenue to Gross Domestic Product (GDP) target of 22 percent and tax to GDP of 18 percent by 2026 are parts of the cardinal objectives of this administration. However, in doing that, we appreciate the need not to overburden the taxpayers by introducing so many new taxes.”
