“Fuel Subsidy Removal Pays Off — Wike Reveals States’ ₦2 Trillion Monthly Windfall”

The Minister of the Federal Capital Territory (FCT), Nyesom Wike, has revealed that Nigerian states now receive a total of ₦2 trillion monthly in federal allocations following the removal of fuel subsidy by the current administration.

Speaking at the 2025 Innovate Africa Conference in Abuja, Wike said the development reflects the increased revenue flow resulting from the government’s bold fiscal reforms. He noted that before the subsidy removal, such massive revenue distribution was unimaginable.

According to him, “Five hundred billion naira in a month for the federation—never. I have never received more than ₦10 or ₦15 billion in a month. Today, states are sharing not less than ₦2 trillion every month. Why? Because of the removal of the fuel subsidy.”

Wike acknowledged that while the policy sparked widespread criticism at its inception, the country is gradually witnessing economic stability as a result. He commended President Bola Tinubu’s courage in making the decision, describing it as one of the most difficult yet necessary steps to reposition the economy.

He stated, “You may not always be right, but you must take a decision, and that’s what this present government is doing. People forget where we were yesterday. The day the President removed the fuel subsidy, many doubted if anyone could take such a bold decision. It was tough, but sacrifices must be made. Many cried out that the masses were suffering, but today, by the grace of God, things are beginning to stabilise.”

According to Ireporter Online, the FCT Minister emphasised that the long-term benefits of the reform are becoming evident as states now have greater financial autonomy to drive development projects across the country.