Nigeria saved N15.8 trillion from subsidy removal and FX reforms in 30 months

Nigeria's federal government revealed that the removal of petrol subsidy and the unification of the foreign exchange market saved the Federation N15.8 trillion between June 2023 and December 2025. The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, announced the figure while presenting what the ministry termed the country's "Reform Scorecard."

According to Oyedele, the savings were not recorded as a separate line item in the Federation Account. Instead, the reforms manifested as higher revenue collections. The removal of the subsidy and the move to a market-determined exchange rate increased the naira value of revenues such as import duties and petroleum profit taxes collected by the government. Of the total N15.8 trillion, N5.4 trillion accrued to the federal government, while N10.4 trillion was distributed to states and local governments through the Federation Account.

The government emphasized that the savings did not create an immediate spending windfall. Minister Oyedele noted that the federal government's incremental resources during the period, including the N5.4 trillion from subsidy savings, N3.1 trillion in independent revenue, and N11.9...