By Erewunmi Peace

Former Central Bank Governor and 16th Emir of Kano, Muhammadu Sanusi II, has said Nigeria would have faced bankruptcy if the fuel subsidy regime had continued. He also criticized the country’s political class, describing its leadership as “lousy.”

Speaking at the Kano International Poetry Festival (KAPFEST), Sanusi noted that successive governments failed to address the economic burden of fuel subsidies, which, according to him, drained public finances and enriched foreign refineries at Nigeria’s expense.

“Nigeria has not been fortunate with quality leadership for a long time,” Sanusi said. “The country was borrowing money to pay subsidies, servicing debts just to keep petrol prices low. Without removing the subsidy, Nigeria would have gone bankrupt.”

The former Emir clarified that he is not against subsidies in principle, but stressed that support should be directed toward production rather than consumption. He argued that subsidies on imported petroleum products only benefited foreign economies while weakening Nigeria’s domestic refining capacity and job creation.

Sanusi’s remarks add to ongoing debates about the impacts of the fuel subsidy removal introduced in 2023. While the policy has been praised for easing fiscal pressure, critics point out that it has worsened inflation and increased hardship for many Nigerians.

Analysts say his comments reflect both the urgency of fiscal reforms and the wider frustration over governance and leadership quality in Africa’s largest economy.