The Nigerian National Petroleum Company Limited (NNPCL) has received approval from President Bola Tinubu to use its 2023 dividends to cover petrol subsidies, according to TheCable.
Tinubu has also agreed to suspend the payment of 2024 interim dividends to support NNPCL’s cash flow. NNPCL had exhausted various measures to stabilize gasoline supply, including fighting theft, debt rescheduling, and deferring payments and projects.
Despite President Tinubu’s announcement of fuel subsidy removal on May 29, 2023, and ongoing government denial of subsidy payments, there are indications of continued expenditure on subsidies.
Tinubu, emphasizing the necessity of subsidy removal for economic progress, has ruled out its reinstatement despite recent public protests demanding its return.
