Minister of Finance, Budget, and National Planning, Zainab Ahmed, has denied reports of the Federal Government's plans to suspend the removal of petrol subsidy.

Although she had initially indicated the National Economic Council's agreement to temporarily suspend the removal of the subsidy, the minister has now clarified that the government intends to expand the subsidy removal committee to include representatives from the incoming administration and state governors.

The committee is expected to determine the appropriate time for the subsidy's removal, alternative measures to ensure sufficient petroleum product supply, and support for vulnerable citizens. The subsidy removal committee currently comprises several key government agencies and is tasked with developing a roadmap for removing the subsidy by June 2023, as mandated by the 2023 Fiscal Framework, Appropriation Act, and Petroleum Industry Act. The federal government plans to stop under-recovery payments by June 2023 and has secured $800 million from the World Bank to support its post-subsidy palliative plans.