THE Organised Labour has questioned the sincerity of the interventions proposed by President Bola Tinubu to ease the effects of the removal of fuel subsidy and other economic policies on Nigerians.
Labour vowed to proceed with its scheduled protest and strike against the elimination of the petroleum subsidy, claiming that what Tinubu told Nigerians in his nationwide broadcast was irrelevant given the lack of direct assistance to Nigerians after two months in office.
Tinubu had, in his broadcast on Monday, July 31, highlighted his administration’s plans to ease the hardship faced by Nigerians following the removal of petrol subsidy.
In a nationwide broadcast, the President reiterated his hope agenda, including creating jobs, supporting businesses, alleviating poverty and revamping the economy.
His broadcast came on the heels of the planned protests and strike by the Nigerian Labour Congress (NLC), scheduled to commence on Wednesday, August 2.
The ICIR reported that the President announced that the subsidy must go in his inaugural address on May 29.
Subsidy removal has tripled fuel prices nationwide – from N195 to the current N615, with a resultant astronomical rise in the cost of transportation, food and other basic needs.
However, in his Monday broadcast, Tinubu said his government had saved over one trillion naira within two months it ended the subsidy regime.
He said the former administration of President Muhammadu Buhari made no funds available in the 2023 Appropriation Act for subsidy.
According to the President, some of the policies to cushion the effect of fuel subsidy removal and revamp the economy include strengthening the manufacturing sector and increasing its capacity to expand and create good-paying jobs by injecting N75 billion into the sub-sector between August 2023 and March 2024.
“The objective is to fund 75 enterprises with great potential to kick-start sustainable economic growth, accelerate structural transformation and improve productivity.
“Each of the 75 manufacturing enterprises would access one billion naira credit at nine per cent per annum with a maximum of 60 months of repayment for long-term loans and 12 months for working capital,” Tinubu stated.
The President added that the government will reinvigorate micro, small and medium-sized enterprises and the informal sector with N125 billion. Out of the sum, it will spend N50 billion on conditional grants to one million nano businesses between July and March 2024.
“Our target is to give N50,000 each to 1,300 nano business owners in each of the 774 local governments across the country,” said Tinubu.
In addition, the government will fund 100,000 MSMEs and start-ups with N75 billion. Under this scheme, each enterprise promoter can get between N500,000 to one million naira at nine per cent interest per annum and a repayment period of 36 months.
“We are also providing 225,000 metric tonnes of fertiliser, seedlings and other inputs to farmers committed to our food security agenda.”
He explained that his administration would support the cultivation of 500,000 hectares of farmland and all-year-round farming practice.
Tinubu said part of his agenda was to roll out buses across the states and local governments for mass transit at a much more affordable rate.
He called for calm and understanding from the citizens as he promised that he would continue to work assiduously to put smiles on the citizens’ faces.
Labour says no going back on strike
But President of the Nigeria Labour Congress (NLC) Joe Ajaero has insisted that the plan for workers to continue with a peaceful protest starting tomorrow had not changed.
He expressed doubts about Tinubu’s ability to control inflation and gasoline prices due to the unification of the exchange rate.
Reacting to Tinubu’s plan to intervene on exchange and high cost of gasoline prices, Ajaero said: “By the time you have a single market and you are not having anything that has a comparative advantage, your energy is import driven, then how are you going to control it? How are you going to control somebody that exchanged dollars at about 900 (naira)? Are you going to tell him to sell below the price?”
“How are you going to tell even NEPA (DisCos) today, with the cost of production, not to increase tariff? Even corn in the villages that was sold at N18, 000 by February now it’s about 56,000. How are you going to control it?” he added.
Ajaero dismissed fears that the peaceful protest could be hijacked by hoodlums, saying that had never happened in the history of workers’ protests.
He, however, said it was the responsibility of security agencies to provide security for the protest to protect the workers.
The Chief of Staff to the President, Femi Gbajabiamila and the National Security Adviser, Nuhu Ribadu, were among the government representatives at the meeting.
A reporter with the ICIR
A Journalist with a niche for quality and a promoter of good governance