The International Monetary Fund has stated that it did not influence Nigeria’s decision to remove fuel subsidies.
This clarification came from Abebe Selassie, the IMF’s African Region Director, during a press conference in Washington DC on Friday.
Selassie explained, “The decision was a domestic one. We don’t have programs in Nigeria. Our role is limited to regular dialogue, as we have with other nations like Japan or the UK.” He emphasized that the Nigerian government made this choice independently.
The IMF has been criticized for Nigeria’s recent fiscal changes, which have led to higher inflation and more hardship for many citizens. Selassie acknowledged the challenges this has created, saying, “We recognize the significant social costs involved.” He urged the Nigerian government to implement social investments to assist vulnerable groups during this transition.
He added, “While Nigeria needs substantial investment in infrastructure, healthcare, and education, the government’s choices regarding subsidy removal reflect its long-term strategy for sustainable economic growth.” Selassie sees these decisions as steps toward better public resource management.
The IMF reassured that it remains supportive of Nigeria’s efforts to improve its economy while stressing that the government’s decisions are crucial for achieving long-term growth.
