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Newsunplug > Blog > News > Nigeria saving N10trn annually from subsidy removal – Ogun senator
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Nigeria saving N10trn annually from subsidy removal – Ogun senator

Godson
Last updated: January 5, 2026 7:00 am
Godson
Published: January 5, 2026
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The senator representing Ogun West Senatorial District, Olamilekan Adeola (Yayi), says President Bola Tinubu’s tax reforms and fuel subsidy removal have enabled Nigeria to save over ₦10 trillion annually.Nigerian Travel Packages

Speaking at a thanksgiving service held in Ilaro, Ogun State, to mark his 22nd thanksgiving celebration, Adeola said the country previously borrowed heavily to sustain fuel subsidies.

He said: “Nigeria is now getting it right. We can predict the kind of economy we are running. The micro economy is doing well, and we are working on the macro economy as well.”

Adeola described the removal of fuel subsidy as a major step in fixing what he called a long standing economic burden.

He said: “Within two years of assuming office, he succeeded in removing a cankerworm in our economy that had affected our finances over the years fuel subsidy which benefited very few Nigerians at the expense of the majority.”

He added: “With that singular action, the president is saving the country over ₦10 trillion on an annual basis.”

Adeola also gave his estimate of what Nigeria used to borrow to keep subsidy payments running. He said: “I know that on a yearly basis, what we went to banks to borrow to fund fuel subsidy was in the region of ₦6 trillion to ₦7 trillion.”

On infrastructure, he pointed to major projects he believes will strengthen the economy, while praising the president’s reforms.

He said: “I believe that in no distant future, Nigerians will feel the impact of all the beautiful reforms introduced by the president. In the area of infrastructure, he has done excellently well. The Lagos–Calabar and Sokoto–Badagry roads are building a new Nigeria a Nigeria that works for everybody.”

On tax reforms, Adeola dismissed claims of crisis or discrepancies, insisting the executive and legislature are aligned.

He said: “On tax reform, there is no doubt and no crisis. We are on the same page with the executive. By the time implementation begins, what was passed is exactly what will be implemented. There has been no amendment, directly or indirectly, outside the National Assembly. We will only take actions that promote the integrity of the National Assembly and Nigeria as a whole.”

Corroborating Adeola’s comments, the Minister of State for Health, Ishiaq Salako, said reforms were already producing visible changes, including the disappearance of fuel queues nationwide as of January 3, 2026, and projected macroeconomic improvements.

Salako said: “The president’s reforms, including tax harmonisation and the removal of fuel subsidy, are aimed at boosting revenue and improving efficiency. Despite the controversy, the new tax laws are expected to increase government revenue and simplify compliance.”

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