On Wednesday, the House of Representatives called for the swift implementation of the N550 billion presidential palliative fund designed to alleviate the economic impact of fuel subsidy removal under the current administration. This resolution followed the adoption of a motion brought forward under Order 8 Rule 4 regarding ‘Urgent need for intervention to address the failure to implement Presidential Palliative,’ jointly sponsored by Hon. Olawuyi Raheem Tunji and several other members.

In his lead debate, Hon. Olawuyi highlighted the severe economic impact the removal of the petrol subsidy, announced by President Bola Ahmed Tinubu in May 2023, has had on micro, small, and medium enterprises (MSMEs). He emphasized that this policy change has caused businesses to shut down, led to widespread job losses, and driven many into poverty. Olawuyi referred to section 14(b) of the 1999 Constitution, which states that the welfare and security of citizens should be a primary goal of the government.

Olawuyi further noted that the N550 billion intervention, introduced by President Tinubu in a national address on July 31, 2023, includes allocations of N200 billion for agriculture, N250 billion for MSMEs, and N100 billion for the transportation sector. The implementation of these funds was supposed to run from August 2023 to March 2024.

However, Olawuyi expressed concern that five months after the removal of the petrol subsidy, the palliative measures, especially the MSME component meant to support 1 million nano businesses, have not yet been implemented. He pointed out that MSMEs contribute 48% of Nigeria’s GDP and employ over 84% of the workforce, making their support crucial to the country’s economic stability.

The House urged Speaker Hon. Tajudeen Abbas to meet with President Tinubu to address the delays in the implementation of the palliatives. Additionally, the House mandated its Committee on SME to engage with relevant ministries, departments, and agencies to identify the obstacles and report back within two weeks.