The federal government as part of efforts aimed at cushioning the impact of the removal of fuel subsidy following the astronomical increase of transportation fares across the country, has concluded plans to release N15billion to transport unions.
The amount would be used for the acquisition of more buses to ensure a smooth take-off of the Public Mass Transit Revolving Fund Scheme (PMTRFS).
This was the high point of a meeting, which was called at the instance of the Minister of Trade and Investment, Mr. Olusegun Aganga.
Present at the meeting were officials from the National Union of Road Transport Workers, National Association of Road Transport Owners, and the Road Transport Employers Association of Nigeria.
Others are top officials of the Urban Development Bank of Nigeria Plc,the fund manager to the federal government, PMTF, as well as other stakeholders.
In a joint communiqué issued shortly after the meeting, the unions said: “After several meetings and deliberations, the transport operators considered various dynamics and identify with the federal government on the removal of the fuel subsidy on premium motor spirit(PMS) as this is critical to developing other key sectors of the economy.
“The FG will in addition to the existing N10billion PMTF scheme, make an initial additional N15billion available to the scheme. The additional fund will be made available to transport operators at zero per cent interest rate with 60 days repayment moratorium.”