Reacting to the development, the Lagos Chamber of Commerce and Industry described the decision of the National Assembly to approve more loans for the Federal Government as one that would plunge Nigeria into “double jeopardy.”
According to the LCCI Deputy President, Mr Gabriel Idahosa, historical antecedents have shown that fuel subsidy continues to divert a significant fraction of revenue which can be injected into other aspects of the economy for developmental purposes.
He said, “Fuel subsidy already has a negative effect on the economy. What it means is that useful resources that should go into social services like education, healthcare, roads and other common services that everyone should enjoy, are used to subsidise petrol, of which about 30 per cent is actually not consumed in Nigeria.”
But the Nigeria Labour Congress lauded the Federal Government for not removing the fuel subsidy as earlier threatened.
The Chairman of NLC in Ogun State, Emmanuel Bankole, said the action was commendable.
He said, “It is commendable and shows that the government is responsive and sensitive. But, that has not solved the problem. All our refineries must be made to function.”
