Financial experts have kicked against the proposed N900 billion for petrol subsidy in 2022 and backed the Federal Government on its total removal.
They disclosed this in separate interviews with the News Agency of Nigeria (NAN) on Friday in Lagos, while reacting to the proposed N900 billion for petrol subsidy in 2022.
They said sustaining the subsidy would be shortchanging the masses, adding that the funds expended on it should be used to fix the productive sector.
Mr Sunny Nwosu, the founder, Independent Shareholders Association of Nigeria, said the Federal Government should remove the petroleum subsidy and must not budget for its payment again.
“After all, over the years, they have not been subsidy on diesel and kerosene and what is the big deal on petrol.
“ It is the few privileged elites who are benefiting from the subsidy payment and not the commoners in the society,” Nwosu said.
He advised the Federal Government to earmark the N900 billion planned subsidy payment to other sectors that would engineer economic growth.
“The funds could be expended on addressing irregular power supplies responsible for stifling businesses, he said.
The former Executive Secretary Chartered Institute of Bankers of Nigeria (CIBN), Dr Uju Ogubunka, who supported the removal of the petroleum subsidy urged the Federal Government to be sincere with it.
“The managers of our economy should be honest and patriotic in tackling the petroleum subsidy challenges, that has spanned for decades.
“ It is unexplainable that a major player among the OPEC producers will yet be contending with ending difficulties in its petroleum sector,” Ogubunka said.
NAN reports that the Federal Government has projected to spend N900 billion on subsidy payout to oil marketers in 2022.
Minister of Finance Budget and National Planning, Zainab Ahmed, made this disclosure at the presentation of the Medium Term Expenditure Framework/Fiscal Strategy Paper for 2022-2024 in Abuja.
She also said petroleum subsidy cost as much as N150 billion in a particular month, funds which would have been available for education, health and infrastructure development.