The Emir of Kano, Lamido Sanusi, has questioned the Nigerian government’s continued reliance on borrowing despite the removal of the petrol subsidy.
Sanusi assessed Nigeria’s current fiscal trajectory in an interview posted by News Central TV on Friday.
The former Governor of the Central Bank of Nigeria (CBN) stated that while the removal of the fuel subsidy and the liberalisation of the exchange rate were necessary, the timing and lack of fiscal discipline are threatening to erase the potential benefits.
He stressed that Nigeria’s practice of supporting foreign refineries while its domestic refining capacity remains dormant is a systemic failure that needs to be addressed.
“I have always said the subsidy regime was unsustainable. We cannot continue supporting foreign refineries. We are an oil-producing country, yet we keep refineries open abroad while neglecting our own,” Sanusi said.
The monarch, however, expressed optimism over the current shift toward domestic production, noting that the country has moved from being a heavy importer of petroleum products to an exporter.
“Today, we have a situation where we have our own domestic refinery. We are no longer importing petroleum products; we are even exporting to Europe, and this is very good for the economy,” he added.
The former apex bank governor, while backing the policy shifts, also raised concerns over the timing and sequencing of the reforms.
