• Hausa Edition
  • Podcast
  • Conferences
  • LeVogue Magazine
  • Business News
  • Print Advert Rates
  • Online Advert Rates
  • Contact Us
Wednesday, August 27, 2025
Leadership Newspapers
Read in Hausa
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us
No Result
View All Result
Leadership Newspapers
No Result
View All Result

Abuse Of Oil Subsidy Leads To Corruption – Idika Kalu

by Igho Oyoyo
2 years ago
in News
Idika Kalu
Share on WhatsAppShare on FacebookShare on XTelegram

A former minister of finance, Dr Kalu Idika Kalu, has said the wrong use of subsidies by past administrations had led to corruption in the oil sector.

Advertisement

He said the sustained wrong use of subsidies fuelled corruption in the country

Kalu made the assertion yesterday at “Meet and Talk Season 2” with the theme: “Understanding Subsidy (Petroleum) and FOREX policies”, organised by Brain Trust Nigeria in Abuja.

The former minister who was a guest speaker at the event, described “subsidy as a positive thing, but that positive things can be used very negatively, and that is what is being experienced in Nigeria.

“In 2014, I said, where you have allowed the wrong use of subsidies to be sustained, that is where corruption comes in. The wrong use of subsidies was sustained over a long time, where it affected a sizable proportion of the budget or whatever denominator you want to use.

RELATED

African Defence Chiefs Forge United Front Against Terrorism, Cyber Threats

African Defence Chiefs Forge United Front Against Terrorism, Cyber Threats

44 minutes ago
BBN S10: ‘That’s Me 100%,’ Gigi Jasmine Defends Frequent Teary Eyes

BBN S10: ‘That’s Me 100%,’ Gigi Jasmine Defends Frequent Teary Eyes

1 hour ago
ADVERTISEMENT

“Whether it is your revenue, your GDP, or your export earnings, while you are using it to subsidize something, you should stop and think about whether you are doing the right thing.

 

“And the joker in the whole pack, we have never heard it being discussed because it is a very technical issue. Its exchange rate is running so much that domestic prices are dropping or foreign prices are increasing,” he said.

ADVERTISEMENT

 

He faulted the sustained mismanagement of the exchange rate, that as long as the naira equivalent of the dollar continued to change so fast, to compensate somebody who imported in dollar terms, the government had to give him the equivalent of the new Naira level.

 

“I have been saying this since 1981, this just does not sink in for the most part. You see if the guy you spend $8 to import, the next year you are spending $12 to import. Somebody has to give you that differential because the dollar is still the dollar. Then the next time it is N16.

 

“So, if you have to compensate the guy importing it, you are encouraging him. The government cannot be importing this thing, it is private sector-led. But, the government as an entity knows that the system needs it.

 

“If the government does not pay the subsidy, then the private sector would, but somebody has to pay for it. Either the government pays a subsidy or the consumer pays the difference.

 

“But if you create artificial oligarchies by saying only NNPC can import or the VP or whatever can import. It is wrong. You need to leave it to the private sector and they will absorb the increased cost and the consumer pays the difference,” he said.


Join Our WhatsApp Channel

Nigerians can now earn US Dollars monthly by acquiring domains cheaply and reselling for profits up to $18,000 (nearly ₦30Million). Beneficiaries include professionals, entrepreneurs, civil servants and more. Click here to start.


SendShare10172Tweet6357Share
ADVERTISEMENT
Previous Post

Tour Operators Commend Max Air For Airlifting 6,000 Pilgrims

Next Post

FCT RUWASSA Disengages Project Consultants

Igho Oyoyo

Igho Oyoyo

You May Like

African Defence Chiefs Forge United Front Against Terrorism, Cyber Threats
News

African Defence Chiefs Forge United Front Against Terrorism, Cyber Threats

2025/08/27
BBN S10: ‘That’s Me 100%,’ Gigi Jasmine Defends Frequent Teary Eyes
Entertainment

BBN S10: ‘That’s Me 100%,’ Gigi Jasmine Defends Frequent Teary Eyes

2025/08/27
Tinubu Departs Abuja For Japan
News

Tinubu Departs Brazil En Route Abuja

2025/08/27
JUST-IN: Davido, Rema, Others Top As AFRIMA Releases 2025 Nominations List
Entertainment

JUST-IN: Davido, Rema, Others Top As AFRIMA Releases 2025 Nominations List

2025/08/27
Federal Gov’t Orders Shutdown Of Illegal Gold Mining Site In Gwagwalada
News

Federal Gov’t Orders Shutdown Of Illegal Gold Mining Site In Gwagwalada

2025/08/27
Missing Crude: CSOs Dismiss Whistleblower’s Claims, Allege Extortion Attempts
News

Niger Delta People Live On $2 Daily Despite $1trn Oil Revenue — INC

2025/08/27
Leadership Conference advertisement

LATEST

African Defence Chiefs Forge United Front Against Terrorism, Cyber Threats

BBN S10: ‘That’s Me 100%,’ Gigi Jasmine Defends Frequent Teary Eyes

Tinubu Departs Brazil En Route Abuja

Tennis Scoring System

JUST-IN: Davido, Rema, Others Top As AFRIMA Releases 2025 Nominations List

Federal Gov’t Orders Shutdown Of Illegal Gold Mining Site In Gwagwalada

Niger Delta People Live On $2 Daily Despite $1trn Oil Revenue — INC

BBNaija10: Dede, Kola Spark Intimacy Rumours After Late-night Moment

IGP Speaks On ‘Cattle Theft’ As Terrorism Financing At INTERPOL Conference

Reverse Abia’s New Tax Regime, It’s Stifling Businesses, Ikonne Tells Gov Otti

© 2025 Leadership Media Group - All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Sport
  • Health
  • Entertainment
  • Opinion
    • Editorial
  • Columns
  • Football
  • Others
    • LeVogue Magazine
    • Conferences
    • National Economy
  • Contact Us

© 2025 Leadership Media Group - All Rights Reserved.