The High Cost of Living in Nigeria: Fuel Subsidy Removal and Its Impact
Nigeria is a country often referred to as the "Giant of Africa," my beloved country is rich in mineral resources. But despite the fact that we are rich in mineral resources there is always a consistent challenge faced by its citizens which is the high cost of living. In a country full of a lot of potential and rich resources the citizens are still faced with poverty.
The Fuel Subsidy palava
Fuel Subsidy is a big problem we have in Nigeria. Before the removal the government promised to build and reconstruct the refineries we have already in Nigeria, so we can produce and refine our own crude oil to finished product instead of selling the crude oil to other countries and buying back the finished products at a very high cost.
The recent government said money used in subsidies will be allocated to other sectors like health care and education for the betterment of the country. All these objections by the recent government were a noble one but the impact of the subsidy removal is really profound and unbearable by the citizens.
The Ripple Effect on Prices
This led to a higher level of inflation that has never been experienced in the history of the country, High price of fuel which has affected the chain of distribution of goods and services. Making it difficult for people to work to be able to save up to meet their basic needs. The cost of electricity also went up at the exalt time the fuel subsidy removal was announced because electricity is an alternative to fuel so if you don't have money to buy fuel then you should at least pay for electric bill but both are still on the high side as many Nigerians can't afford any.
Everyone in Nigeria is living under pressure except the rich ones in government, an average Nigerian is struggling to meet up with the standard of living coupled with the low rate of employment and low wages and salary.
Impact on Poverty Levels
Currently Nigeria is rated as the country with the highest level of poverty, imagine the giant of Africa, world bank as of 2020 estimated that 90 million Nigerians were living in extreme poverty and the subsidy removal is adding more to the number.
For me I think the government doesn't have the citizens at heart, because the refineries should have been built and commissioned, before removing the subsidy. The negative impact is more than the positive side as the level of poverty has increased to more than what it was so what then is the new for the removal. The government should seek for an immediate solution to what they have done to its citizens because only them can find a solution to the mess.