President Bola Ahmed Tinubu, in a nationwide address to mark the second anniversary of his administration on Thursday May 29, 2025, said Nigeria has made “undeniable progress” despite the hardship that followed his government’s economic reforms.
The president, who came into office in 2023 amid what he described as historic economic challenges, said his administration had to take difficult but necessary decisions to prevent the country from collapsing under the weight of fuel subsidies, a flawed forex system, and rising debts.
“Despite the bump in the cost of living, we have made undeniable progress,” Tinubu said. “We are on course to building a greater, more economically stable nation.”
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Below are some key takeaways from President Tinubu’s speech:
1. Economic reforms are taking root
- Removal of fuel subsidy and the unification of the foreign exchange market were necessary to save the country from collapse.
- Inflation is beginning to ease, and the cost of rice and other staples is declining.
- Over $8 billion in oil and gas investments have been secured in 2025 alone.
- The economy grew by 3.4% in 2024, with a strong Q4 growth of 4.6%.
2. Revenue growth and fiscal discipline
- Over N6 trillion in revenue recorded in Q1 2025 alone.
- Fiscal deficit reduced from 5.4% of GDP in 2023 to 3.0% in 2024.
- Ways & Means borrowing discontinued.
- Nigeria’s external reserves grew from $4 billion in 2023 to over $23 billion in 2024.
- NNPC has become a net contributor to the Federation Account.
3. Tax reforms for fairness and growth
- Tax-to-GDP ratio rose from 10% to 13.5% in one year.
- 0% VAT on essential items like food, education, and healthcare.
- Exemption of rent, public transport, and renewable energy from VAT.
- Introduction of a Tax Ombudsman to protect small businesses and vulnerable taxpayers.
4. Stronger subnational economies
- States’ revenue increased by over N6 trillion in 2024.
- This has enabled governors to pay salaries, reduce debts, and invest in infrastructure.
5. Boost in health sector
- Over 1,000 Primary Health Centres revitalised; 5,500 more being upgraded.
- Free dialysis services in pilot tertiary hospitals; 4,000 women had free C-sections.
- Cancer treatment centres established; health insurance coverage expanded to 20 million Nigerians.
6. Security improvements
- Security agencies have restored order in several areas previously controlled by bandits.
- Highways are becoming safer, and rescued kidnap victims have been returned home.
- Tinubu reiterated that security remains his administration’s top priority.
7. Human capital and youth empowerment
- Student loan scheme rolled out for indigent students.
- Expanded skill development and youth employment initiatives.
- NASENI leading innovation with projects like electric vehicle assembly, diagnostic kit production, and female drone training.
8. Agriculture and food security
- Thousands of tractors and farming tools procured to boost local food production.
- Government launched programmes to reduce food prices and increase productivity.
9. Infrastructure development
- Major roads under construction or rehabilitation include Abuja-Kaduna-Kano, Lagos-Calabar Coastal Highway, Second Niger Bridge Access Road, among others.
