The Centre for the Promotion of Private Enterprise has said the first three years of President Bola Tinubu’s administration were largely focused on restoring macroeconomic stability after inheriting significant fiscal, monetary, and foreign exchange challenges, but noted that the benefits of the reforms have yet to translate into broad-based welfare gains.
In an assessment of the administration’s economic performance, the Chief Executive Officer of the CPPE, Dr Muda Yusuf, said the government assumed office amid acute foreign exchange illiquidity, multiple exchange rates, declining investor confidence, and weakened external reserves.
According to him, fiscal conditions were also strained by entrenched Ways and Means financing and a fuel subsidy regime that had become a major source of fiscal leakages and economic distortions.
Yusuf identified fuel subsidy removal and exchange rate unification as the two major reforms underpinning the administration’s economic stabilisation agenda.
He said the subsidy removal reduced pressure on public finances
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