FG To Release N100bn To Transporters For Acquisition Of 3,000 Busses

President Bola Tinubu has said that his administration will release N100bn in the next 9 months for the acquisition of 3,000 CNG cars to ease the high impact of transportation cost induced by fuel subsidy removal on Nigerians.

This would be achieved through the Infrastructure Support Fund for the States, Tinubu said on Monday during a national broadcast.

On May 29, Tinubu removed the fuel subsidy which costs Nigeria N400bn monthly and trillion yearly which became unsustainable for Africa’s biggest economy.

On June 14, the Central Bank of Nigeria harmonized the multiple exchange rate along the Investors’ and Exporters’ window.

This led to the naira to trade from N460 average to as high as N810 per dollar while prices of fuel has surged to N620 per litre.

He said, “Part of our programme is to roll out buses across the states and local governments for mass transit at a much more affordable rate. We have made provision to invest N100 billion between now and March 2024 to acquire 3000 units of 20-seater CNG-fuelled buses.

“These buses will be shared to major transportation companies in the states, using the intensity of travel per capital. Participating transport companies will be able to access credit under this facility at 9% per annum with 60 months repayment period.”

Tinubu said the subsidy goes into the pockets of the few who have become excessively powerful to the detriment of the majority.

According to him, those who benefited from the porous system are fighting back.

He said, “I made a solemn pledge to work for you. How to improve your welfare and living condition is of paramount importance to me and it’s the only thing that keeps me up day and night.

“It is in the light of this that I approved the Infrastructure Support Fund for the States. This new Infrastructure Fund will enable States to intervene and invest in critical areas and bring relief to many of the pain points as well as revamp our decaying healthcare and educational Infrastructure.

“The fund will also bring improvements to rural access roads to ease evacuation of farm produce to markets. With the fund, our states will become more competitive and on a stronger financial footing to deliver economic prosperity to Nigerians.”