Assessing the Effct of Fuel Subsidy Removal on the Socio Economic Well-Being of Nigerians

Abstract

The objective of the study is to assess the consequences of fuel subsidy removal on the socioeconomic being of Nigerians. This study employed a qualitative research approach using a documentary research design (also referred to as document analysis). The study relies mainly on secondary data obtained from existing documents rather than primary field data collection. Sources of data include policy documents, government, peer-reviewed academic journals, government reports, newspaper publications, and reports from international organizations relevant to the study area. These data were systematically selected, reviewed, and analyzed to identify recurring themes, patterns, and insights that address the study objectives. The study is anchored on the Demand-Side theory as its theoretical framework. The findings indicate that while the removal of fuel subsidy has resulted in increased fuel prices and a higher cost of living, it also creates opportunities for increased government revenue and potential investment in infrastructure. The study concludes that although the policy may yield long-term economic benefits, its short-term effects are largely challenging for many Nigerians. It recommends that the government should implement well-structured and transparent social protection measures, such as targeted cash transfers and food support programs, aimed specifically at low-income and vulnerable households. This will help cushion the immediate impact of rising living costs and prevent further decline in welfare