A renowned Nigerian Professor of Economics and Public Policy, Professor Akpan Hogan Ekpo, has attributed President Bola Tinubu’s announcement “Fuel subsidy is gone’’ to the astronomical rise in prices of all goods and services in the country.
Professor Ekpo, former Vice Chancellor of University of Uyo, who stated this during a convocation lecture entitled: Nigeria: A resource rich economy in crisis: Are there solutions? said the announcement resulted in structural inflation.
Speaking at Ben Jones Auditorium, Obong University, Obong Ntak in Etim Ekpo Local Government Areaof Akwa Ibom on Friday, April 19, he said “oil subsidy is gone’ announcement resulted in astronomical rise in prices of all goods and services resulting in structural and inflation.
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Tinubu had on May 29, 2023 during his formal swearing in and inauguration as Nigeria’s President announced the removal of the subsidy on Premium Motor Spirit (PMS), thus scaling the cost of the product from N185 to N510 a litre.
‘‘That singular pronouncement brought untold hardship to the citizens.
‘‘The pronouncement was unnecessary because the so-called subsidy was no longer in the budget from June 2023,’’ Ekpo stated.
The university scholar noted that the President’s statement led to hyper and hydra-inflation, kicking up the food prices to 40 per cent rise and speedy Naira depreciation.
The former Director-General of West African Institute for Financial and Economic Management (WAIFEM) owned by Central Banks of West African English speaking States further identified floating the domestic currency, the naira as another factor responsible for the hyper-inflation in the country.
Recall that Tinubu took over from ex-President Muhammadu Buhari who governed the country from 2015 to May 29, 2023.
Both leaders are from the same ruling party, All Progressives Congress (APC) that came into power with a change mantra for the first four years and later with the slogan of moving the country to the next level.
Ekpo, however, acknowledged that Nigeria is blessed with human, material and mineral resources yet about 85 percent of its citizens lack and/or do not have access to the basic needs of life.
Unfortunately, he averred that ‘‘Electric power is epileptic, running water is a challenge, quality health facilities and education at all levels have been deteriorating, shelter for majority of citizens remain problematic and more recently government cannot protect life and property of its people.
‘‘This is not to suggest that all Nigerians are not benefitting from the system. The performance of the economy has been marginal since 1960.
‘‘There exist an elite class whose lifestyle mirrors their counterpart in the developed world – they constitute about 10 percent of the population.
‘‘They have succeeded in capturing the state for themselves and their families. It is difficult to say with certainty that the middle class exist in Niger,’’ he pointed out.
Earlier, the Vice Chancellor of the university, Professor Udo Udo Ekanemesang, had welcomed the guests to the lecture, saying it was was one the requirements by Nigerian Law for convocation of graduates.
The event was graced by the Visitor and founder of Obong University, Professor Moses Akpanudo and wife, Jessie as well as the Chairman of the Board of Directors of the university, Mrs Uto Ukpanah.