Fuel subsidy removal saved Nigeria from bankruptcy, Tinubu

The Nigerian government’s decision in 2023 to end fuel subsidies—implemented by President Bola Ahmed Tinubu’s administration—cut the annual subsidy bill from about $2 billion to near zero, easing fiscal pressure and helping avoid a sovereign default. By redirecting the saved funds to infrastructure and debt service, the move improved Nigeria’s budget balance and restored confidence among investors and multilateral lenders, preventing a looming bankruptcy. Views Nigeria