The Central Bank of Nigeria Governor, Olayemi Cardoso, revealed that the federal government spent N6.2 trillion on foreign exchange subsidies in 2022, surpassing the N4.5 trillion spent on fuel subsidies.
Cardoso made this disclosure during the 59th annual Bankers’ Dinner organized by the Chartered Institute of Bankers of Nigeria (CIBN) in Lagos.
He noted that in recent years, losses from FX subsidies have posed a greater challenge to the nation’s revenue than fuel subsidies.
“In 2022 alone, the potential revenue total revenue lost due to a less reflective FX regime is approximately N6.2 trillion compared to 4.5 trillion from fuel subsidies.
“We have all been complaining about the loss of government revenue from fuel subsidies, yet the loss from the past FX subsidy regime far exceeds that of fuel.
“The real elephant in the room is the losses from the FX regime.”.
In June last year, the Nigerian government implemented two major policies: floating the Naira and removing the fuel subsidy.
These measures significantly impacted the economy, with inflation rising to 33.88% and the exchange rate reaching N1,672.69 per dollar, compared to 22.41% inflation and an exchange rate of N463 between May and June 2023.
……..
Note : To submit Press Releases, Statements, and Advert Inquiries for publication on Waffi blog (website) or Television 📺, please use the following contact details: You can send an email to info@waffitv.com or reach us via Whatsapp at 07068286500
