Mismanagement of Subsidy Proceeds Not Reason to Reverse Removal, Says Obi

The presidential candidate of the Nigeria Democratic Congress (NDC), Peter Obi, has said the alleged mismanagement of funds recovered from fuel subsidy removal should not be used as a justification for reversing the policy.

Obi made the remarks on Monday during a panel session at the Nigerian Bar Association (NBA) Annual General Conference in Port Harcourt, Rivers State.

“Well, I subscribe, and I maintain that you need to remove subsidy. Mismanagement of the proceeds should not be the reason for not removing it,” he said.

According to the former Anambra State governor, the government should have provided alternative uses for the resources saved from subsidy removal, particularly by investing in sectors that directly improve citizens’ welfare.

“What we should have done is that when we remove subsidy, we would have given the people an alternative usage for the subsidy. What we have today is that that removal and attendant resources being recovered are also being mismanaged and stolen,” he said.

Obi argued that the funds should have been channelled into critical sectors such as healthcare, education and infrastructure.

He cited claims that the Federal Government had recovered about N16 trillion from subsidy removal, saying such resources could have been invested or saved for the country’s long-term benefit.

“We’ll do it in an organised manner, and whatever we recover will be invested appropriately,” Obi said, referring to his position on subsidy removal.

“So it’s what you use the money for that is the problem. We will use the money in an organised manner, or you save it.”

He further argued that if the proceeds had been properly saved, Nigeria could have significantly increased its sovereign wealth fund and generated additional resources for national development.

Obi also addressed the possibility of an opposition coalition ahead of the 2027 general elections, saying he would only support an alliance that prioritises the interests and welfare of Nigerians.