The Nigerian Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, has acknowledged that many citizens are still grappling with the effects of economic reforms, despite the government's efforts to stabilize the economy. Speaking at Chatham House in London, Oyedele defended the recent removal of petrol subsidies and the unification of the foreign exchange market, while recognizing the persistent challenges of high food prices and cost of living.

Oyedele emphasized that while macroeconomic stability is essential, it does little for families struggling to afford basic necessities. He stated, "Macroeconomic stability means little to a mother who still cannot afford food," highlighting that food inflation remains a significant concern for many households. The minister noted that although headline inflation has decreased, it does not necessarily reflect relief for families facing rising food prices.

The minister identified several factors contributing to the high cost of food, including low agricultural yields, seasonal farming challenges, post-harvest losses, and insecurity in farming regions. He pointed out that Nigeria loses a substantial portion of its tomato output after harvest due to inadequate storage and logistics, with losses reaching up to 60 percent.

To address these issues, Oyedele outlined the government’s strategy to enhance food supply through investments in agricultural technology, irrigation, storage facilities, and rural infrastructure. He also mentioned efforts to improve security in farming communities and expand access to finance for smallholder farmers and small businesses, which play a crucial role in employment.

In terms of direct support, the government has reportedly reached over 10 million households through a cash transfer program, ensuring that assistance is delivered directly to those in need, verified by national identity numbers to avoid middlemen.

While defending the economic reforms initiated by President Bola Tinubu’s administration, Oyedele acknowledged the significant pressure these changes have placed on households. He noted that inflation peaked at 34.6 percent in November 2024, affecting families at the markets and in their daily lives. Oyedele insisted that the reforms were necessary to correct an unsustainable economic situation inherited in 2023, where petrol subsidy spending exceeded combined expenditures on health and education.

He argued that reversing these reforms would have led to even deeper economic difficulties, stating, "Reform did not create the hardship. It prevented a deeper one that was building in silence." Oyedele stressed that the government's evaluation of its economic policies must extend beyond macroeconomic indicators to how they impact the living conditions of Nigerians.

Looking ahead, the minister outlined the next phase of the government’s economic program, which aims to translate stability into accelerated and inclusive growth through private investment, infrastructure development, and increased domestic production. He indicated a shift away from reliance on public borrowing towards attracting private capital, particularly in sectors like power, transport, agriculture, and agro-processing.

As the country approaches the 2027 general elections, Oyedele expressed confidence that the government would maintain its economic policy direction. He emphasized the importance of strengthening institutions and laws to ensure the sustainability of the reforms, while also committing to transparency in public spending and economic data. "The best economic policy in an election year is the same as in any other year. That is the point of credibility," he stated, reiterating that the ultimate measure of success will be whether these economic improvements translate into tangible benefits for households and businesses.