The World Bank has urged President Bola Tinubu’s administration to cut wasteful expenditures, including the purchase of vehicles, in its October 2024 report titled “Staying the Course: Progress Amid Pressing Challenges.” The report outlined four key areas for reducing the cost of governance to free up resources for poverty reduction and development. These include eliminating non-essential spending, particularly on vehicles and external training, as well as improving targeted cash transfers to alleviate the economic hardship faced by Nigerians amid high inflation.
The World Bank also stressed the need for Nigeria to address long-standing structural constraints, such as the high cost of collecting revenue and inefficient public spending. It recommended that savings from the fuel subsidy removal be directed towards expanded social safety nets and cash transfers. The recommendations come as the country faces rising living costs, driven by inflation in essential goods like food, which is outpacing wage growth.
