Former Vice President Atiku Abubakar has issued a warning over what he called "troubling contradictions" in Nigeria’s economy, saying that external reserves are falling despite a significant oil revenue windfall.
Nigeria’s external reserves declined to $48.45bn as of 24 April, down from $48.72bn the previous week, Atiku said.
Reserves have fallen by about $1.57bn since 11 March as the country reportedly earned about N5tn in oil windfall within the same period.
In a statement issued by his Senior Special Assistant on Public Communication, Phrank Shaibu, Atiku described the situation as a sign of "dangerous economic mismanagement."
He argued the persistent drawdown suggests the Central Bank of Nigeria (CBN) is injecting liquidity to defend the naira artificially.
"This is not stability; it is a fragile illusion sustained by burning through national savings.
"A nation cannot deplete its buffers to mask policy failures while ignoring the structural weaknesses undermining its currency," he said.
Atiku believed defending the naira without improving productivity, boosting exports, and restoring investor confidence is unsustainable. "It is akin to pouring water into a basket," he added.
He also said the oil windfall, driven largely by external geopolitical developments rather than domestic policy, has not translated into relief for ordinary Nigerians.
According to him, citizens continue to face rising fuel prices, increased transport costs, and high inflation, despite growing government revenues.
READ ALSO: ADC Releases Timetable for 2026 Primary Elections
"This paradox is both unjust and unsustainable," he said.
The former vice president made two recommendations. First, he urged the government not to spend the windfall on recurrent expenditure or political patronage.
He said it should be channelled into targeted interventions to cushion fuel price increases, stabilise food supply, and support vulnerable populations.
"To do otherwise is to profit from the suffering of the people while offering them nothing in return," he said.
Second, Atiku called on the government to halt what he described as the "reckless defence of the naira through reserve depletion."
He advised that the government should instead invest in long-term economic fundamentals.
Atiku stressed the need to prioritise domestic refining capacity, critical infrastructure, and policies that promote non-oil exports and restore investor confidence.
"The naira cannot be defended by force; it must be strengthened by fundamentals," he said.
He added that economic windfalls are tests of leadership and warned against short-term fiscal decisions.
"Nigeria’s external reserves are not a political war chest, and this oil windfall is not a licence for fiscal indiscipline," Atiku said.
0 Comments