Tinubu's Second Year: Breaking Traditions and Betting on Reform
President Bola Ahmed Tinubu's administration is celebrating two years in office, and he’s not holding back on calling it a season of change. From fuel pumps to foreign currency rates, Tinubu’s government has torn up playbooks that defined Nigeria for decades. The goal? Stabilize the economy and shake off some old baggage.
If you ever wondered why fuel prices swing so wildly now, it all traces back to the administration’s decision to remove fuel subsidies. For years, those subsidies kept prices artificially low but drained the public purse. By ditching them, the government says they've saved hundreds of billions of naira—a pile of cash now directed at sectors that usually struggle to get funding, like healthcare, education, and infrastructure.
But that’s just the tip of the iceberg. On the international front, the forex stabilization game took a big leap with the launch of the Electronic Foreign Exchange Matching System (EFEMS). This digital platform made life simpler for businesses struggling to access dollars and cleared up a backlog worth billions. As a result, the naira reached its strongest level in nearly eight months, which injected fresh hope among investors who'd previously been sitting on the fence. It’s rare to see such quick market reactions, but that’s what you get when confidence rebounds.
Investment Surge, Social Safety Nets, and Electricity Reforms
Nigeria’s oil and gas sector has seen a stunning revival. In the first half of 2024, over $5 billion in Final Investment Decisions (FIDs) poured into the country. This not only put Nigeria at the top of Africa’s energy investment list but also sent a signal that, despite all odds, global investors still have faith in Nigeria’s potential. Consider what that means for job creation, local business, and government revenue—and it's easy to see why officials are boasting.
Social welfare hasn’t been left behind. The Presidential Loan and Grant Scheme alone has reached more than 900,000 Nigerians—from aspiring entrepreneurs to struggling families. Student support programs also got a boost, with 300,000 young Nigerians benefitting from grants, bursaries, and other forms of assistance. For many, these initiatives have been lifelines during tough economic times, helping them keep their heads above water and hope alive for a better future.
Turning lights on has also become a state affair, literally. The 2024 Electricity Act pushed market development down to the states, freeing up innovation and local investment. Practically, this means states can now come up with their own solutions to persistent blackouts, driving new power projects tailored to their unique needs. For ordinary folks tired of darkness, it could mean more reliable access to electricity, improved businesses, and better learning environments for students.
The government hints that 2025 will be all about sticking with these reforms, refining them, and making sure the positive changes stick. Tinubu’s bet is that these first two years of tough decisions will lay the groundwork for the kind of stability and growth many Nigerians have been demanding for years. Whether the gambit pays off remains to be seen, but one thing’s certain: this administration isn’t afraid of shaking things up.
