The Traffic

Fuel Price Hike: Nigerian Lawmakers Warn of Unrest Amid Deadlocked Government-Labour Meeting

Yakubu Haruna Yakubu 

Nigeria's House of Representatives has cautioned that the recent fuel price hike could trigger social unrest, following a stalemate in the meeting between the Federal Government and labour leaders. The price increase, which saw petrol prices jump to N1,030 per litre from N897 in Abuja and N998 per litre from N868 in Lagos, has sparked widespread concern.

Key Concerns:

- _Economic Hardship_: The price hike has increased transportation and food costs, exacerbating the financial burden on ordinary Nigerians.

- _Inflation_: The escalating fuel and gas prices are pushing many families into deeper financial hardship.

- _Business Struggles_: Small and medium-sized enterprises are struggling to manage operational costs due to increased fuel prices, threatening economic stability and job security.

Government Response:

The government has planned a fresh meeting with union leaders to address the issue. However, lawmakers are demanding an immediate reversal of the price hike, citing the current economic hardship.

Lawmakers' Perspectives:

Minority Leader Kingsley Chinda emphasized that the removal of fuel subsidy, global oil price volatility, and naira depreciation have contributed to the rising costs. House Minority Whip Ali Isa condemned the incessant price increments, urging the government to review policies affecting Nigerians negatively.

Economic Context:

Nigeria's economy grew by 3.19% year-on-year in Q2 2024, with the oil sector expanding by 10.15% ¹. However, the price hike has sparked concerns about inflation and economic stability.

The situation remains uncertain, with the government and labour leaders yet to reach an agreement. The outcome of the next meeting will be crucial in determining the direction of Nigeria's economy.