By Yusuf Danjuma Yunusa

The International Monetary Fund (IMF) has advised Nigeria against restoring broad petrol subsidy, recommending targeted support for vulnerable households to cushion the impact of rising energy costs.

IMF said blanket petrol subsidies were expensive, often benefited higher-income consumers disproportionately and could worsen fiscal pressures amid rising borrowing costs.

Rodrigo Valdés, director of the IMF’s fiscal affairs department, spoke during a press briefing on the fund’s fiscal monitor at the 2026 annual meetings of the IMF and World Bank in Bangkok, Thailand, on Wednesday.

His comments followed a question on how the fund could recommend allowing energy prices to reflect scarcity when higher fuel prices in Nigeria could raise transport costs, worsen inflation and deepen poverty, particularly when the government was facing calls to restore petrol subsidy ahead of an election year.

“Protecting people is not the same as protecting the price of fuels,” Valdés said.

He said fuel subsidies or measures preventing prices from adjusting fully to an energy shock had cost countries between 1 percent and 1.5 percent of gross domestic product (GDP) in 2026.

“It’s first fiscally very costly, and second, if you look at the pattern of consumption, it’s easy to see that that subsidy is readily regressive in many places,” he said.

Valdés said governments should instead use social safety nets and household data to identify people who need assistance.

“There are better tools to deal with this,” he said.

The federal government recently announced a 30-day petrol discount at Nigerian National Petroleum Company (NNPC) Limited retail stations, with priority for public transport operators, to cushion the impact of rising fuel prices.

Taiwo Oyedele, minister of finance, said NNPC retail would sell petrol at cost by foregoing its retail profit margin, describing the measure as temporary relief rather than a return to petrol subsidy.

The government also proposed negotiating a ceiling of N1,350 per litre on petrol’s ex-gantry or landing cost, subject to monthly reviews.

The IMF also recommended targeted interventions to cushion the effect of higher fuel prices on transportation costs.

Davide Furceri, a division chief in the fund’s fiscal affairs department, said governments could redirect some of the resources spent on blanket subsidies towards vulnerable consumers.

“For example, you mentioned transportation costs. Yeah, gasoline could go up, and perhaps bus fees may be subsidised in a way that is a much better policy at the end of the day than just a blanket subsidy for everybody,” Furceri said.

He also suggested alternatives such as school feeding programmes, geographical targeting and assistance for vulnerable farmers.

Furceri acknowledged that some countries lacked household registries and digital payment systems needed to deliver targeted support effectively.

However, he said governments could adopt alternative approaches in the short term while developing stronger systems.

He recommended that assistance should be limited, targeted and temporary.

Valdés explained that fuel subsidies could worsen global energy pressures by preventing demand from adjusting when supplies were constrained.

“When you subsidise, you don’t allow, at the end of the day, demand to adjust,” he said.

“And reality is that we have less fuels in the world economy. That means that someone else has to adjust more, and the market produces a higher price for that.”

The IMF official said subsidies were not only costly and regressive but could also have spillover effects on the global economy.

The Senate on Tuesday passed a bill sponsored by the Deputy President of the Senate, Senator Barau I. Jibrin (APC, Kano North), to provide a legal framework for the Yusuf Maitama Sule Federal University of Education, Kano, Kano State.

The bill was passed during plenary presided over by the President of the Senate, Senator Godswill Obot Akpabio, GCON. It seeks to provide the statutory foundation for the effective management and administration of the institution.

Recall that in September 2024, President Bola Ahmed Tinubu approved the conversion of the Federal Colleges of Education in Kano and Zaria into federal universities of education.

Following Senator Barau’s request on behalf of the people of Kano, President Tinubu, on May 10, 2025, also approved the renaming of the institution as the Yusuf Maitama Sule Federal University of Education, Kano.

To give the institution a legal framework, Senator Barau sponsored the bill, which passed through the legislative process and was approved by the Senate for second and third readings. The bill scaled first reading on Wednesday, March 25, 2025.

While leading the debate on the bill, Senator Barau said the legislation was necessary to give legal backing to the institution.

He commended President Tinubu for approving the institution’s upgrade and renaming, explaining that the bill would provide a legal framework for the promotion and development of teacher education and make comprehensive provisions for the university’s management and administration.

He said: “Mr Senate President, this institution has already been established by the President of the Federal Republic of Nigeria.

“You may recall, my colleagues, that in the last Senate, I made efforts to facilitate the establishment of these institutions, including the Federal College of Education, Zaria, which was to be upgraded to a full-fledged university, as well as Alvan Ikoku College of Education and Adeyemi College of Education. The bills were passed and transmitted to the late President Muhammadu Buhari, but they were not assented to.

“When President Bola Ahmed Tinubu assumed office, I approached him and conveyed the desire of my people to have the Federal College of Education, Kano, upgraded to a full-fledged university. He assured me that, since it was the request of the people, it would be done. The President subsequently approved the upgrade of the institution.

“But we were not done yet. At the request of my people, I returned to the President to seek approval for the institution to be named after the late Yusuf Maitama Sule. The President immediately approved the request. Today, the institution is a full-fledged university offering degrees in various fields of education.

” We cannot thank Mr President enough. He loves Kano and has consistently acceded to our requests. Beyond this institution, he has also approved the establishment of the Federal University of Science and Technology in Kabo and the Federal Polytechnic in Rano. We cannot thank him enough for these interventions.”

In his remarks, Senate President Godswill Akpabio commended Senator Barau for sponsoring the bill and thanked senators for supporting its swift passage.

He expressed optimism that President Tinubu would assent to the bill upon its transmission to him, thereby providing the university with the necessary statutory and regulatory framework to fulfil its mandate and continue contributing to national development.

Signed:
Ismail Mudashir
Special Adviser to the Deputy President of the Senate
(Media and Publicity)
October 13, 2026

The ruling All Progressive Congress, APC London chapter has conferred an award of honour, on Kano state governor, Eng Abba Kabir Yusuf.

The chairman APC UK , London Branch, Hon Tunde Doherty , at the pageant presentation ceremony held at Double Tree By Hilton London, said the award was conferred on governor Yusuf in recognition of his contributions to the development of the party at the grass root levels.

He added that , the sterling leadership qualities of the recipient and his style of democratic governance were exemplarity saying this resulted to his been nominated by members of the UK branch of the party to be conferred with the award .

The Special Adviser on Youth and Sports Development to the Executive Governor of Kano State, Sani Musa Danja .expressed profound appreciation to the APC UK leadership for the honour, bestowed on the governor, describing it as a clear testimony to the contributions of governor Abba Kabir Yusuf to the growth of the party across board.

He stated that , the awardee has continued to champion the values of unity, service, development and progress within the All Progressives Congress (APC).

According to him, Governor Yusuf has been an evangelist of the importance of strengthening relationships between party members and supporters in Nigeria and the diaspora.

Danja said that the award was earned owing to the sacrifices of the people of Kano State, alongside those working towards a united, prosperous and progressive Nigeria.

He commended Hon. Tunde Doherty and the APC UK leadership for promoting party solidarity and strengthening political engagements within the Nigerian diaspora community.

Danja conveyed the Governor’s appreciation to the Nigerian community in the United Kingdom for remaining actively connected to Nigeria’s political and developmental aspirations.

He affirmed that Kano State Government under the leadership of Abba Kabir Yusuf has remained focus towards its commitment to youth empowerment, sports development, creating economic opportunities and pursuing the general wellbeing of the good people of Kano.

Our correspondent reports that , the occasion also featured the inauguration of the Tinubu Must Stay Organisation, UK Chapter, marking another step in organising the supporters of President Bola Ahmed Tinubu in the United Kingdom and strengthening diaspora engagement in their support of the President’s leadership and the Renewed Hope Agenda.