THE Federal Government has warned that a return to fuel subsidy could trigger capital flight, put pressure on the naira and undermine the gains recorded under its ongoing economic reforms.
News Point Nigeria reports that the warning was issued at a media briefing in Bangkok, Thailand, at the conclusion of the 2026 IMF-World Bank Annual Meetings, where Nigeria’s economic outlook and the impact of the administration’s policies were discussed.
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The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele; the Governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso; and the Minister of Budget and Economic Planning, Atiku Bagudu, addressed the briefing following the conclusion of the international meetings.
Oyedele had stated on October 8, 2026, that the Federal Government’s 30-day reduction in fuel prices did not amount to a return to fuel subsidy.
The finance minister explained that investors had repeatedly sought assurances that the government would not reverse the removal of fuel subsidy or the unification of exchange rates, particularly as Nigeria approaches another election cycle.
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He argued that any indication that the government might reintroduce fuel subsidies could prompt investors to withdraw their capital, thereby placing additional pressure on the foreign exchange market and the naira.
The Minister of Finance and the CBN governor arrived for the final briefing by the Nigerian delegation to the 2026 IMF-World Bank Meetings in Bangkok, Thailand.
After five days of deliberations, the delegation highlighted some of the key takeaways from the meetings, particularly those with implications for the administration’s economic policies.
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The delegation also clarified the government’s decision to offer a discount on the retail price of Premium Motor Spirit (PMS), commonly known as petrol.
In addition, it announced the Federal Government’s target of achieving seven per cent economic growth.
In his remarks, the Minister of Budget and Economic Planning, Atiku Bagudu, emphasised the importance of collaboration between fiscal and monetary authorities to sustain the gains of the economic reforms.
