Oyedele Denies Fuel Tax Plan, Says Reports Misrepresent His Remarks

The Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has denied reports that the Federal Government plans to introduce a fuel tax once the economy stabilises, describing the reports as “fake news” despite his comments during a televised interview.

Oyedele, in a post on X on Tuesday, said his remarks during an interview with ARISE News had been misrepresented, insisting that a fuel tax was not being considered by the government.

However, during the interview with ARISE News Business Correspondent, Rotus Odiri, on the sidelines of the 2026 International Monetary Fund (IMF) and World Bank annual meetings in Bangkok, Thailand, the minister said fuel taxes could be introduced when economic conditions and income levels improve enough for Nigerians to accommodate them.

Oyedele explained that taxes account for between 20 and 80 per cent of petrol pump prices in some countries, while several African countries impose between six and 10 different taxes on fuel products.

He argued that introducing a fuel tax while petrol was still being subsidised would have been counterproductive, as the government would effectively be paying the tax itself.

The minister also said imposing the levy immediately after the removal of the petrol subsidy would have been insensitive to Nigerians already grappling with the effects of the policy.

According to him, the government should prioritise growing incomes faster than rising prices rather than attempting to suppress prices through measures that have proved ineffective in other countries.

He said the approach was intended to promote prosperity and expand the middle class, in line with the economic direction of President Bola Tinubu’s administration.

Oyedele further stated during the interview that fuel taxes could be introduced at an appropriate time when the economy had stabilised and Nigerians’ income levels were sufficient to accommodate them.

However, in his subsequent clarification on X, the minister maintained that the government had no plan to introduce a fuel tax at this time, arguing that such a move would be insensitive following the removal of the petrol subsidy.

His denial has drawn attention to the apparent difference between his public clarification and his earlier remarks during the interview, in which he indicated that fuel taxes could be introduced when economic conditions improved.