Nigerians Say Country Is Headed in Wrong Direction, Oppose Fuel-Subsidy Removal

Pixabay
Fuel pump.
19 March 2025
Afrobarometer (Accra)
By Raphael Mbaegbu and Chukwudebe Nwanze

Economic issues dominate citizens' list of priorities for government action.

Key findings

  • More than nine out of 10 Nigerians (93%) say the country is going in "the wrong direction." Only 6% see things going in the right direction, a 31-percentage-point drop since 2017.
  • Nearly nine in 10 citizens (88%) say the country's economic condition is "fairly bad" or "very bad," up 30 percentage points since 2020. o And three-fourths (74%) report poor personal living conditions.
  • More than nine in 10 Nigerians (95%) say they or someone in their household went without a cash income at least once during the previous year. Most also report shortages of food (82%), medical care (82%), water (74%), and cooking fuel (79%). o The share of Nigerians experiencing moderate or high levels of lived poverty has increased by 41 percentage points since 2017 (from 38% vs. 79%).
  • The increasing cost of living is the most frequently cited problem that Nigerians want the government to address. The economic issues of poverty, unemployment, and management of the economy also make the top five, along with crime/security.
  • Ratings of the government's economic performance are overwhelmingly negative. Fewer than one in 10 Nigerians rate the government positively on improving living standards of the poor (8%), managing the economy (7%), creating jobs (6%), narrowing gaps between rich and poor (5%), and keeping prices stable (3%).
  • A large majority (85%) of respondents disapprove of the government's decision to remove the government's fuel subsidy. Only 12% approve of the removal.
  • Almost six in 10 (58%) say the government should reinstate the fuel subsidy even if this means reducing other important expenditures such as health or education. More than one-third (35%) disagree.

The removal of Nigeria's fuel subsidy has reshaped the country's economic landscape, driving up not only fuel prices but the overall costs of living. Fuel subsidies, which provided government financial assistance to keep fuel prices below prevailing market rates, were first introduced in the 1970s in response to the 1973 oil-price shock (Chika, 2023).

In 2012, the government attempted to remove the subsidy, a move that sparked nationwide protests. Public outcry and prolonged demonstrations, which nearly escalated into violent unrest, led the government to reinstate the subsidy. Since then, successive administrations have failed to remove the subsidy due to concerns about public opposition and potential unrest.

In May 2023, President Bola Ahmed Tinubu announced the removal of Nigeria's fuel subsidy (Premium Times, 2023). The decision, which came unexpectedly, was met with widespread concern about its economic implications. The immediate aftermath saw a sharp increase in the prices of goods and services across the country. Fuel prices surged from N185 per liter in 2023 to N1,025 per liter in 2024, while the currency exchange rate weakened from 460 naira to 1,700 naira per U.S. dollar (Punch, 2024).

The combined effects of the fuel-subsidy removal and the unification of the naira's exchange rate have exacerbated the cost of living for many Nigerians. The rising cost of goods and services has significantly weakened purchasing power, a particular problem for low-income households. World Bank (2024) projections estimated that by the end of 2024, about four in 10 Nigerians would be living below the international poverty line.

Inflation reached record levels in June 2024, driven primarily by escalating food and fuel prices and foreign exchange volatility (National Bureau of Statistics, 2024). As inflationary pressures mount, economic hardship deepens, triggering ripple effects throughout society (Jarmajo, 2024). As Nigeria navigates these economic challenges, the long-term effects of subsidy removal remain a focal point of public discourse and policy debate.

Afrobarometer survey findings show that Nigerians' already-grim assessments of the country's overall direction, its economic situation, and their personal living conditions have continued to worsen. The proportion of citizens experiencing moderate or high levels of lived poverty remains overwhelming.

Nigerians' ratings of their government's performance on key economic issues are almost unanimously negative. Economic issues dominate citizens' top priorities for government action, including the increasing cost of living, poverty, unemployment, and management of the economy.

Raphael Mbaegbu Raphael is a project manager for NOI Polls

Chukwudebe Nwanze Chukwudebe Nwanze is a senior research associate at NOIPolls

Read the original article on Afrobarometer.

Tagged:
Copyright © 2025 Afrobarometer. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.

AllAfrica publishes around 400 reports a day from more than 110 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.