Fuel crisis: Nigeria undergoing budget amendment over subsidy

The Nigerian government is currently undergoing a budget amendment process following the roll back on fuel subsidy, as the global fuel crisis intensifies, according to Zainab Ahmed, Minister of Finance, Budgets and National Planning.

She said this while responding to a question asked on rising share of interest payment as a share of total tax revenues, at a virtual meeting of the International Monetary Fund (IMF) with the theme: “The Political Economy of Fiscal Reforms in Africa”.

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“Also we are going through a budget amendment process because of the roll back on fuel subsidy but we are also keeping an eye on that particular number to make sure that it is within the sustainable level because the last thing we want is to have debt obligation problems,” she said adding that revenue to debt service ratio is currently at 55 percent.

The minister said the Federal Government has quietly implemented subsidies in the electricity sector, saying “as we speak, as it is, we do not have subsidies in the electricity sector.”

“We did that over time by carefully adjusting the prices at some levels while holding the lower levels down.

Hope Moses-Ashike

Hope Moses-Ashike is an Associate Editor, Banking and Finance, with more than a decade of experience reporting on Nigeria’s financial system and broader economy. She closely tracks market movements, monetary policy decisions, company disclosures, regulatory actions, economic indicators, and global developments, and interprets what they mean for businesses, investors, policymakers, and households. Her reporting helps readers understand complex issues such as inflation trends, foreign exchange market dynamics, interest rate decisions, bank performance, and investment risks. She also covers major international events and periodically travels to Washington, D.C., to report on the World Bank/IMF Spring and Annual Meetings. Her dedication to financial journalism has earned her multiple recognitions and invitations to high-level professional development programmes. She is an alumna of the International Visitors Leadership Programme (IVLP) in the United States and holds an Advanced Financial Journalism Certificate from the Press Association Training in London, UK. Her other notable achievements include completing the Lagos Business School CMC Programme, the Bloomberg Media Africa Initiative Programme, and a Master Class in Journalism at Rhodes University in South Africa.