The Federal Government has given explanations over the pump price increase of petrol in the country.
Minister of Information, Lai Mohammed made this revelation at a press briefing after the weekly the Federal Executive Council(FEC) meeting, chaired by President Muhammadu Buhari, yesterday.
He said the increase from N86.50 to N145 per litre was a painful decision government had to take.
Mohammed further hinted that the current problem was basically not about subsidy removal, but was about facing reality that government is broke.
“The current problem is not really about subsidy removal. It is about the fact that Nigeria is broke. Pure and simple.
“It is like when somebody who has been earning N100,000 a month is faced with a situation where his employer says, henceforth you will be earning N10,000 a month. He would need to make some very painful decisions and some very painful adjustments. That is the situation with Nigeria today.”
“A few months ago, we were earning as much as $100 for every barrel of crude. In the months of February and March, we were short of…so, we no longer have the resources, the foreign exchange to bring in refined fuel products. And our economy is shrinking. We appreciate the fact that the decision is going to affect everybody.
“We appreciate what we are going through, but Nigerians should also know that the government has the responsibility at times to take very difficult decisions. So, it is not always about popularity.”