Tinubu’s Reforms Saved Nigeria from Economic Crisis - Gov Mbah

Governor of Enugu State, Peter Mbah, said Nigeria would have faced total economic collapse if not for President Bola Tinubu’s bold reforms. He pointed out that the removal of fuel subsidy and the floating of the naira only happened after Tinubu took office in 2023 because Nigeria delayed making these tough choices and was living on borrowed time.

He shared these views over the weekend at the launch of "As Tinubu Mbah Moves" (ATM), a support group led by the Minister of Innovation, Science and Technology, Dr. Kingsley Udeh (SAN). This group is focused on supporting the re-election of President Tinubu and Governor Mbah in Enugu.

While addressing a large crowd, Mbah said, "It would have been a lot easier for any leader to just continue with the status quo and carry on on the basis of business as usual. But for Bola Ahmed Tinubu, it was business unusual that led to the bold initiatives."

Mbah, who has experience in the oil and gas sector, said he had long argued against the fuel subsidy. He noted that the subsidy was not sustainable and was causing economic damage to Nigerians. He said, "We were just basically postponing the evil day."

He explained, "We were just digging our poverty pits continually. We were actually digging deeper into that pit of poverty. And it would have taken a very courageous leader in his first term to say, 'Look, if we have to build for the future, if we have to think about our children, then we must take out the subsidy and we must also unify the exchange rate regime.'"

Mbah also criticized the foreign exchange system before Tinubu floated the naira, calling it a cesspool of corruption. He said, "We got to a point in this country where even salary earners, once they get paid, would run to the bureau de change to change it rather than hold their salary in naira. Confidence was completely eroded in the naira."

He added, "If you wanted to do a study or research of any failed nation, it is when the country, the citizens themselves, begin to lose confidence in their currency. And that was the environment that this President inherited."

Mbah described the situation as terrible, saying, "It was a major cesspool of corruption. The arbitrage was obvious and people were being taken advantage of. What was happening between the official and the parallel market was terrible. And some people were benefiting from that arbitrage at the expense of the economy."

He praised Tinubu's understanding of the economy for enabling these bold decisions. He claimed that the stabilization of Nigeria’s economic indicators under Tinubu has attracted Foreign Direct Investments (FDIs) needed to improve household incomes and create jobs.

Mbah explained, "This essentially is something that is largely driven by private capital. But government enables it by policies because I can tell you that private capital does not go to where you do not have stability."

He emphasized that without stable macroeconomic indicators, Nigeria could not attract private capital. He said, "Because we did not have all those before now, private capital was not coming. So, what the bold policies and initiatives this President took have done is that those macro pressures have largely been eased."

Mbah pointed out that many FDI deals are now closing in various sectors, especially in oil and gas, showing that confidence is returning. He said, "People who have dollars are now going back to exchange their dollars because that confidence has been restored."

He noted that as macro indicators stabilize, growth is beginning to happen, though not yet at the desired level. He said, "The next thing is going to be shared prosperity because you are going to see that growth cascade. You are going to see it get to the households. You are going to see it create employment."

Citing Enugu State as an example, Mbah credited Tinubu for freeing up funds that would have gone to subsidy. He said this allows states to start big development projects that benefit people.

Mbah urged Nigerians to vote for Tinubu to finish the work he started. He said, "Nations are not built by abandoning challenges halfway through. If we have gone through this whole process of difficult periods when it appeared as if all was doomed to a point where we are beginning to see the light at the end of the tunnel, we cannot abandon what has been started."

He added, "No great sailor abandons his ship because of a rough sea, mid-sea. You have to sail to get to your destination." He encouraged ATM members to spread the word about Tinubu's reforms and infrastructure efforts in the South East.