The Guardian Nigeria News - Nigeria and World News

The federal government may have good intentions in its decision on thefuel discount, aiming to ease the economic pain many Nigerians are currently experiencing. There is no doubt that the high cost of fuel has triggered runaway inflation across most goods and services, including transport costs, thus grossly reducing the spending power of the average Nigerian. Indeed, multidimensional poverty is increasing across the land. But the scepticism of labour unions regarding the adequacy of that measure should be understandable. This is because the government measure appears to raise more questions than answers. Nevertheless, the issue is symptomatic of the changing face of economic policy in Nigeria.

Since fuel subsidy was removed in May 2023, the state of the Nigerian economy has not been the same, and the working class and members of the informal sector have been the worst hit in the unfolding drama, continuing to struggle to eke out a living for their families daily under an unfriendly and excruciating economic environment. Just when it appeared that the country was achieving a reasonable level of stability, the U.S.-and Israel-instigated war in Iran destabilised the international oil market, further raising fuel prices consistently for about 10 months. In these circumstances, the labour unions must rise to protect workers.