Nigerians are groaning under the heavy yoke of Naira scarcity and fuel scarcity 2023. There have been varying questions concerning this? Will this problem cease? Will it get better? In this post, we’ll be examining naira scarcity and fuel scarcity in Nigeria 2023, and how it will affect Nigeria’s Election and life after the election?
We’ll be doing a step by step revelation of the problem, its state now, and how it will affect the election and life after the election.
Fuel Scarcity and Naira Scarcity in Nigeria 2023
Nigerians were ushered into 2023, or welcomed into 2023, with the reality of fuel scarcity and naira scarcity. How did it all start? How did Nigeria come to this?
Fuel scarcity has always been a reoccurring issue in Nigeria since the time of Nigerian Civil War. It got worse in the 80s and 90s. It stopped briefly in the 2000s. However, it troubled Nigeria still from time to time.
For the years 2022 and 2023, it got to a very bad situation because of the battle of fuel subsidy. There have been arguments of whether fuel subsidy should be removed or not removed. In addition, fuel marketers complain that the fixed amount for fuel is no longer feasible, and so it should be increased.
The argument surrounding fuel subsidy, the desire of fuel marketers, and Federal Government insistence on fixed fuel price makes it a dicey situation. This leads the marketers to hoard fuel or not be effective in the distribution of the commodity.
Now, the fuel price that is pegged at 195 naira per liter sells for over 250 naira per liter in most locations in Nigeria. The worst part is that most Nigerians cannot find fuel anywhere. The marketers and those in charge of fuel distribution find ways to make the fuel scarce in the country.
For Naira scarcity, the CBN monetary policy of 2022 and 2023 has made naira notes scarce in the country. From the 3 trillion naira cash that was in circulation in Nigeria before the monetary policy was enacted, there is less than 1 trillion naira cash in circulation at the moment. This means that there is limited cash to go around.
Many Nigerians are finding it hard to have access to cash. The Central Bank of Nigeria (CBN) has stated that one of the reasons why the institution introduced the new naira notes was to encourage Nigerians to do online and USD code banking. However, most Nigerians are still not tech savvy enough to accept transfer. This is the reason why cash is still widely used in most locations in Nigeria.
Due to this, there is serious shortage of cash in the country. There is not enough cash to go round for everyone. This problem will persist till after the elections. It may take months for the country and Nigerians to recover and adapt to this new naira issue. Although the Central Bank and Federal Government of Nigeria is still doing its best to endeavor that more money gets into circulation.
How will these affect Nigeria’s Election Outcome and Life after the Election?
It won’t augur well for the ruling party, APC. This is the reason why most caucus politicians in the party supporting the Presidential candidate, Bola Tinubu, have been condemning the policy. They all read the policy to be subverting their quest to retain the presidency.
This is because it is affecting Nigerians economically. It is causing hardship. Business is stalling. Most Nigerians are already not pleased with the running of the APC government, and now, coupled with this level of hardship.
In addition, it is making the opposition parties popular. It is making PDP popular, and the LP popular in some places. It will definitely affect how people vote.
Then after the elections, the money spent in the election and used by politicians in their campaigning process will help in improving the amount of money in circulation.
Any government that is elected will do well to hit the ground running. There will be the introduction of better economic policies, or the solidification of Buhari’s good policies. It is expected that the market in Nigeria will improve slightly with time.
However, at the moment, the inflation in Nigeria is still high. It might only begin to reduce slightly somewhere during the second quarter. With the removal of fuel subsidy eminent, the inflation would likely reduce a bit.
In this post, the Naira scarcity and fuel scarcity in Nigeria 2023, and how it will affect Nigeria’s Election and life after the election has been well-presented. You should do well to know how to tackle this. It’s a good guide.