The Federal Government has released a breakdown of the N15.8 trillion in savings attributed to fuel subsidy removal and other economic reforms implemented under President Bola Tinubu over the past three years.

Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, disclosed the figures at a press conference on Wednesday.

Oyedele said the fuel subsidy reforms generated N15.8 trillion in savings, which accrued to the Federation Account and were shared among the three tiers of government.

According to him, the Federal Government received N5.43 trillion, states received N6.52 trillion, while local governments received N3.88 trillion from the savings.

He added that the government recorded N3.12 trillion in additional revenues and secured N11.85 trillion through additional borrowing during the period under review.

This brought the Federal Government’s total incremental resources to about N20.4 trillion. However, Oyedele said additional government expenditure during the same period stood at approximately N30.64 trillion.

“Subsidy removal therefore did not create one large pool of cash available to the Federal Government. It reduced a major fiscal burden and the amount of additional borrowing that would otherwise have been required,” he said.

Oyedele said the N30.64 trillion in additional expenditure included N9.39 trillion for wage adjustments, N9.37 trillion for external debt servicing, N6.47 trillion for infrastructure and N3.14 trillion for electricity subsidies.

Tinubu announced the removal of the petrol subsidy and the liberalisation of the foreign exchange market shortly after assuming office in May 2023. The measures triggered a sharp increase in fuel prices and significant fluctuations in the value of the naira.