KOGI STATE
Faculty of Management Sciences
Journal of MANAGEMENT
ISSN: 3212 - 3122
EFFECT OF FUEL SUBSIDY IMPLEMENTATION ON POVERTY REDUCTION IN NIGERIA
Yunusa Amodu & Joseph Odoba Achegbulu
Abstract
In a bid to reinvest and redirect savings for poverty reduction as a development effort, successive administrations in Nigeria have engaged in fuel subsidy removal. The paper aims to empirically analyze effect of fuel subsidy implementation on poverty reduction in Nigeria with the specific objective to examine how fuel subsidy removal affects the rate of poverty in Nigeria. The study adopted qualitative method of data collection. Data were collected from available and reliable secondary sources using content analysis. The Marxian theory of the state was adopted as the theoretical framework for analysis. Findings indicate that due to inelastic nature of fuel, removal of fuel subsidy has detrimental impact on household income, corresponding incidence in the cost of living and hike in prices of goods and services and increased overall incidence of poverty and hardship in the country. The study therefore, recommended among others that government should expedite action in the rehabilitation of existing refineries, railways and ensure good governance through unquestionable accountability and transparency
Keywords
Fuel Subsidy, Policy Implementation, and Poverty Reduction
Full Article
UNIVERSITY, ANYIGBA
