Mr. Bayo Onanuga, Special Adviser on Media and Information Strategy to President Bola Tinubu, has stated that Nigerians will soon experience a decline in the cost of living as the government’s economic reforms take effect.
Speaking to journalists in Lagos on Sunday, Onanuga explained that President Tinubu had introduced several key reforms across different sectors and addressed challenges previous administrations had avoided. He emphasized that although the changes may not yet be noticeable, their long-term impact would soon become apparent.
According to him, it is too early to judge the administration’s performance within just two years. Policy experts, he noted, often evaluate reforms over a 10 to 12-year period. He added that Tinubu’s government began with a clear policy direction and had already set solid foundations for national growth.
Onanuga acknowledged the initial difficulties caused by subsidy removal but pointed out that the situation was unsustainable. He revealed that, before the policy was implemented, the Nigerian National Petroleum Company (NNPC) was financially strained, unable to import fuel, and owed its suppliers approximately $6 billion. In comparison, the government owed the NNPC roughly ₦4 trillion.
He addressed concerns about government borrowing, explaining that borrowing is common globally—even countries like the United States rely on it. He stated that Nigeria has resources, but not all are immediately liquid, which makes borrowing necessary for large infrastructure projects such as coastal roads. He assured that borrowed funds were not being misused but applied to meaningful development.
On the issue of currency devaluation, Onanuga said it is a standard economic strategy used worldwide, noting that countries like the UK and the US have devalued their currencies when necessary. He added that Nigeria’s current policies are grounded in these same global economic principles.
He also pointed out that the government had created new economic opportunities through infrastructure development. Many of these road and building projects, he said, were not initially included in the budget but are now underway. As a result, production levels have increased, and Nigerians are now enjoying higher disposable incomes.
Onanuga cited examples of companies like Nestlé and Nigerian Breweries, which had faced operational difficulties but are now sourcing materials locally and recording profits. He also mentioned that Nigerians were earning an income by exporting agricultural products, such as cocoa and zobo.
According to him, many investors and companies are now producing within the country, which will gradually lead to positive changes in the daily lives of citizens. He urged the public to consider the broader economic context rather than focusing only on adverse reports. He believes understanding the whole picture will help people recognise the progress being made and the brighter future ahead.
