The Federal Government is considering legislation to protect major economic reforms from reversal by future administrations, as Finance Minister Taiwo Oyedele declared that Nigeria should abandon any plans to restore the former petrol subsidy system. The proposal is intended to establish a lasting national economic framework that would guide government decisions beyond the tenure of President Bola Tinubu.
Oyedele disclosed the plan on Monday, October 26, 2026, during the 32nd Nigerian Economic Summit in Abuja, themed Growth That Works: Delivering Jobs, Productivity and Shared Prosperity. He said the government was seeking national agreement on principles governing taxation, tariffs, subsidies, investment and industrial development, with the possibility of incorporating those principles into legislation.
“We now need to lock it in, in institutions, in law, as well as policy framework, so that it can be enduring,” the minister said during a panel discussion.
Oyedele argued that repeated policy reversals had undermined economic planning, weakened investor confidence and prevented successive governments from building on reforms introduced by their predecessors.
He said the proposed framework would provide greater certainty for businesses and establish common principles for economic decision-making, regardless of changes in political leadership.
Addressing the possibility of restoring petrol subsidies, Oyedele rejected a return to the previous arrangement.
“Any ideas of returning it, we should forget about it,” he said, maintaining that the government should prioritise increasing household incomes rather than artificially suppressing prices.
The minister argued that policies designed to keep prices below market levels had created economic distortions and financial obligations that became increasingly difficult to sustain.
President Tinubu announced the removal of petrol subsidy during his inauguration on May 29, 2023. The decision formed part of wider economic reforms that included changes to the foreign exchange system.
The administration has defended those policies as necessary to address fiscal pressures, improve economic efficiency and encourage investment. However, the reforms have also contributed to higher living costs, particularly through increased transportation expenses and the rising prices of goods and services.
Oyedele's proposal would seek to establish greater continuity in economic policymaking, but the government has not presented an enacted law preventing future administrations from changing subsidy arrangements.
The minister clarified that the proposed Nigeria Economic Policy Framework remained a consultation draft and had not been approved as official government policy.
Public consultation is scheduled to continue until November 27, 2026, after which the document is expected to proceed to the Federal Executive Council for approval and the National Economic Council for endorsement.
The consultation will also examine whether the framework should eventually be enacted into law and how government institutions could be strengthened to implement its principles.
According to Oyedele, the framework could become part of the orientation and screening process for public officials and political appointees.
He suggested that copies of the document could accompany appointment letters, ensuring that incoming officials understood the agreed principles guiding economic decisions.
The minister said such measures would help reduce the tendency for administrations to introduce abrupt changes without adequate consideration of their consequences for businesses and households.
He described unpredictable policymaking as a significant obstacle to enterprise development, arguing that uncertainty increases costs and discourages long-term investment.
“Policy uncertainty is an invisible tax on enterprise,” Oyedele said, adding that it destroys economic value without generating government revenue.
Under the proposed framework, major economic interventions would be subjected to mandatory Policy Impact Assessments.
These assessments would require policymakers to identify the problems they intended to address, present supporting evidence, explain the likely costs and benefits, and specify the conditions under which a policy should be reviewed or discontinued.
The proposed requirements would apply to important decisions involving taxation, tariffs, regulatory restrictions and economic incentives.
The framework also recommends an annual National Economic Scorecard to assess whether government policies are producing measurable improvements in the lives of Nigerians.
Rather than relying primarily on gross domestic product growth, the scorecard would examine indicators including real wages, productive employment and poverty reduction.
Oyedele argued that economic performance should be judged by improvements in household incomes and business productivity, not simply by increases in aggregate national output.
The minister identified seven interconnected priorities within the proposed framework: stability, productivity, enterprise, capital, people, markets and institutions.
He said private businesses should remain central to economic growth, while government should provide infrastructure, maintain the rule of law, address market failures and protect vulnerable citizens.
On industrial policy, Oyedele questioned the effectiveness of prolonged protection for domestic industries that had not achieved significant improvements in competitiveness.
He disclosed that some vehicles assembled in Nigeria contained approximately five per cent local content despite receiving tariff and levy protection of up to 60 per cent.
The minister argued that protection for domestic industries should be temporary and linked to measurable performance rather than maintained indefinitely.
He also identified electricity, logistics and manufacturing costs as areas requiring sustained attention to improve Nigeria's industrial competitiveness.
Minister of Budget and Economic Planning Abubakar Bagudu supported the administration's position, declaring that the government would not return to the previous petrol subsidy system.
Bagudu said the President had directed officials to sustain the reforms despite concerns about their immediate impact on households.
He also highlighted efforts to coordinate economic policies between federal and state governments, particularly in infrastructure development, security and domestic production.
Anambra State Governor Charles Soludo similarly emphasised the importance of maintaining macroeconomic stability.
However, Soludo warned that Nigeria's economic growth rate remained insufficient to deliver rapid poverty reduction and the employment opportunities required by its expanding population.
His remarks highlighted a broader challenge facing the administration: ensuring that economic stability translates into higher productivity, improved incomes and meaningful employment.
The proposed legislation also raises important constitutional and democratic questions.
Although the National Assembly can enact laws establishing economic institutions and procedures, an ordinary Act cannot permanently prevent a future National Assembly from amending or repealing it through the constitutional legislative process.
Consequently, any proposed law could strengthen institutional continuity and establish requirements for reviewing economic policies, but it would not automatically make every current reform irreversible.
The precise legal effect would depend on the wording of any eventual legislation and its consistency with the Constitution.
There is also a distinction between establishing durable economic principles and preventing future governments from responding to changing economic conditions.
Policies that appear appropriate under one set of circumstances may require modification when economic conditions, public finances or household needs change.
The proposed framework has not yet resolved how those considerations would be balanced.
Oyedele maintained that the government's objective was to establish predictable rules that would encourage investment and reduce the economic disruption associated with frequent policy reversals.
He urged businesses, professional organisations and other stakeholders to examine the consultation document and submit evidence-based recommendations before the deadline.
For now, the initiative remains a proposal rather than an enforceable legal restriction on future administrations.
Its eventual significance will depend on the outcome of public consultation, the decisions of the relevant government institutions and whether legislation is formally introduced and passed by the National Assembly.
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