Tinubu Reforms Strengthening Economy, Improving Revenue, Says Presidency
Tinubu Reforms Strengthening Economy, Improving Revenue, Says Presidency
The Presidency has defended President Bola Tinubu’s economic reform programme, insisting that recent fiscal and monetary policies are rebuilding Nigeria’s economy, improving government revenues and putting the country on a path of sustainable growth despite the short-term hardships experienced by citizens.
Responding to criticisms by former Vice President Atiku Abubakar, the Presidency, in a statement issued by the Special Adviser to the President on Information and Strategy, Bayo Onanuga, argued that Nigeria’s economy has recorded significant improvements since the difficult adjustment period that followed the 2024 reforms.
According to the statement, Nigeria’s dollar-denominated Gross Domestic Product (GDP), which dropped to about $253 billion after the exchange-rate adjustment, has rebounded to approximately $377 billion, representing a 49 per cent increase. It also noted that the country’s naira GDP expanded from about ₦314 trillion in 2024 to ₦530 trillion, reflecting stronger economic activity.
The Presidency maintained that the country’s debt profile should be assessed alongside its economic capacity, noting that Nigeria’s debt-to-GDP ratio remains below 40 per cent, lower than several emerging and advanced economies. It added that the debt service-to-revenue ratio has fallen from nearly 100 per cent in December 2022 to below 60 per cent, a development it attributed to improved revenue generation and prudent debt management.
Defending the removal of petrol subsidy, the government said the policy had significantly increased revenues shared among the three tiers of government through the Federation Account Allocation Committee (FAAC), enabling states and local governments to invest more in infrastructure, healthcare, education and other social services.
On tax reforms, the Presidency dismissed claims that the administration was imposing heavier taxes on Nigerians. It said the reforms were designed to reduce the tax burden on low-income earners and small businesses while ensuring wealthier individuals and profitable companies contribute a fairer share through improved tax compliance.
The statement also highlighted ongoing investments in healthcare, education and infrastructure as evidence that the gains from the reforms are being channelled into productive sectors of the economy. It disclosed that more than 3,000 Primary Healthcare Centres have been upgraded, over 78,000 frontline health workers retrained, and 1.64 million students have benefited from the Nigerian Education Loan Fund (NELFUND), with more than ₦303 billion disbursed.
In the infrastructure sector, the government said investments in roads, rail, power, airports, housing and digital connectivity are expected to reduce logistics costs, stimulate private-sector growth and support long-term economic expansion.
The Presidency also rejected claims that Nigeria recorded an unaccounted ₦7.98 trillion oil windfall, explaining that higher crude oil prices were offset by lower-than-projected production and existing crude-backed financing arrangements.
According to the statement, Nigeria’s economic reforms are beginning to yield positive results, with inflation easing after peaking during the adjustment period. It added that government projections indicate inflation will continue to decline as fiscal and monetary reforms take deeper effect.
The Presidency maintained that although the reforms have imposed short-term economic pain, they are necessary to correct longstanding structural distortions and build a more resilient economy.
It reaffirmed the administration’s commitment to improving revenue mobilisation, expanding productive investments and strengthening social intervention programmes, insisting that the reforms are laying the foundation for sustainable economic growth and improved living standards for Nigerians.
