By: Sunday Ameh
The 16th Emir of Kano and former Governor of the Central Bank of Nigeria (CBN), Muhammadu Sanusi II, has faulted President Bola Ahmed Tinubu’s administration for its continued reliance on heavy borrowing despite the removal of petrol subsidy — a policy that was expected to free up significant government revenue.
Speaking on Tuesday at the Oxford Global Think Tank Leadership Conference and Book Launch held in Abuja, Sanusi described the trend of persistent borrowing as economically illogical and counterproductive. He argued that the government’s fiscal actions contradict the objectives of subsidy removal, which was meant to reduce financial pressure on public spending.
“If you stop paying subsidies but continue borrowing more, it means you’ve filled one hole only to dig another,” Sanusi said. “The real challenge now is the quality of government spending and how revenues saved from the subsidy are being managed.”
While commending Tinubu for implementing difficult but necessary reforms such as the unification of Nigeria’s multiple exchange rates, Sanusi warned that without fiscal discipline and transparency, the reforms would ultimately fail to achieve meaningful economic recovery.
The outspoken emir questioned the rationale behind what he termed “extravagant governance,” citing the size of the federal cabinet and wasteful government practices.
“Why do we need 48 ministers? Why do we need convoys of vehicles? Why are we still borrowing even after removing subsidies?” he asked, stressing that such contradictions undermine the benefits of reform.
Sanusi attributed Nigeria’s current economic troubles to years of policy inconsistency and populist politics, recalling that as CBN governor, he had warned in 2012 that the fuel subsidy was unsustainable. He noted that political resistance at the time prevented necessary action, forcing subsequent administrations to confront the same problem under worse conditions.
“We told Buhari everything — about printing money, waste, exchange rates, and subsidy — but each time, it was seen as a personal attack,” he recounted. “Leaders must learn to surround themselves with people who speak the truth, not sycophants who only praise them.”
He also gave credit to former President Goodluck Jonathan for his attempt to remove the subsidy in 2012, explaining that the administration’s decision to back down was largely due to security concerns amid Boko Haram insurgency and widespread street protests.
Sanusi concluded by urging the current administration to adopt transparent, disciplined, and responsible governance, warning that continuous borrowing without accountability would erase any gains made from reforms and further plunge Nigeria into economic instability.
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