Tinubu’s Reforms Stabilising Economy, Inflation Falling – Wale Edun

Nigeria’s Minister of Finance and Coordinating Minister of the Economy, Wale Edun, has said the economic reforms introduced by the administration of Bola Tinubu are beginning to stabilise the country’s economy, with inflation declining and growth gradually improving.

Speaking during an interview on Politics Today on Channels Television on Wednesday, Edun said the government had taken difficult but necessary steps to correct long-standing distortions in the Nigerian economy.

According to the minister, the administration’s key reforms—particularly the removal of fuel subsidies and the adoption of market-based foreign exchange pricing—have helped restore stability and improve macroeconomic indicators.

“The key to having removed major distortions, which President Tinubu has courageously done, is that we now have market pricing of foreign exchange and market pricing of petroleum products,” Edun said. “That has helped stabilise the economy, brought down inflation, and built up reserves.”

He added that inflation had declined significantly from previous highs, noting that the government’s focus is now on accelerating growth to create jobs and reduce poverty.
“We are now going at a rate of about four per cent growth per annum,” he said.

“The target set by Mr President in the immediate term is seven per cent, because that level of growth will lift people out of poverty.”

Edun also welcomed the planned appointment of tax expert Taiwo Oyedele as Minister of State for Finance. He described Oyedele as an experienced professional whose background in tax policy and fiscal reform would be valuable to the ministry.

“We are very well aware of his capacity, his energy and his commitment to this government,” Edun said. “As soon as he is screened and sworn in, he will roll up his sleeves and join us.”

Edun noted that the government intends to increase revenue through technology-driven reforms, including automation, digitisation and the use of artificial intelligence to improve tax administration.

“We really need to use automation, digitisation, even AI and other technology to increase government revenue,” he said.
Poverty Reduction and Economic Growth
The minister acknowledged that while macroeconomic indicators are improving, many Nigerians are yet to feel the impact in their daily lives.

However, he insisted that the government’s long-term strategy is focused on expanding economic growth and supporting vulnerable households.

“We are on the verge of major growth, which is what will reduce poverty,” Edun said.
He revealed that the government’s social protection programme currently supports about 10 million households—roughly 50 million Nigerians—through direct cash transfers.

“These payments serve as a social safety net,” he explained. “Even if the amounts are small, direct payments allow households to decide how best to spend the money.”

Edun also stressed that micro, small and medium-scale enterprises (MSMEs), which account for about 85 per cent of private sector activity in Nigeria, remain central to the government’s economic strategy.

“We are focusing on providing financing to micro, small and medium-scale businesses,” he said. “That is where the majority of economic activity and job creation happens.”

Addressing concerns over rising global tensions in the Middle East and their possible impact on oil prices, Edun said the Federal Government would not intervene to fix petrol prices despite volatility in global markets.

He reiterated that the Tinubu administration is committed to market-based pricing for petroleum products and foreign exchange.
“Rather than reverting back and taking a backward step, we will look at every other measure that can help the cost of living of Nigerians without resorting to non-market pricing,” Edun said.

According to him, government intervention would only be considered as a last resort if market mechanisms fail.

To mitigate the impact of rising fuel prices, Edun said the government is expanding its compressed natural gas (CNG) programme, including plans to distribute additional conversion kits to motorists.

“One of the ways the President immediately announced was 100,000 extra CNG conversion kits to enable vehicles to convert to CNG fuel, which is maybe 25 to 30 per cent of the cost of petrol,” he said.

He also pointed to Nigeria’s growing domestic refining capacity—including the refinery built by businessman Aliko Dangote—as a factor that could strengthen the country’s energy security.
“Our demand is about 50 million litres per day, and the refiners say they can meet that demand,” Edun said, adding that domestic refining capacity would help cushion global supply shocks.

Despite the progress recorded so far, Edun warned that global developments—including geopolitical tensions and inflationary pressures—could still affect Nigeria’s economy.
Higher oil prices, he said, could increase government revenue but also raise production and transportation costs.

“You have gains on one side from higher oil prices, but you also have costs on the other side,” the minister explained, citing freight and supply chain disruptions as potential risks.
He said the government’s Economic Management Team is closely monitoring the situation and reviewing policy options to protect economic gains and reduce the cost of living for Nigerians.

“There are no guarantees,” Edun said. “But what we can guarantee is that we are focused on protecting the gains that have been achieved so far.”

He added, “It is now the time for Nigerians and foreign investors alike to make good returns in Nigeria,” Edun said. “The opportunities are there, and what is required is being done to create a level playing field for investment.”