The Nigeria Labour Congress (NLC) has sharply criticized the International Monetary Fund (IMF) for denying responsibility for the Nigerian government’s recent petrol subsidy removal. NLC President Joe Ajaero condemned the IMF’s stance, calling it “cynical” and emblematic of a long history of IMF and World Bank policies that impose economic hardships on developing nations under the guise of growth.
During a recent IMF and World Bank meeting, IMF African Region Director Abebe Selassie characterized Nigeria’s subsidy removal as a “domestic decision,” a claim the NLC rejected. The NLC argued that while the IMF insists the decision was local, its frequent advocacy for subsidy cuts makes this denial disingenuous, especially given Nigeria’s history of compliance with IMF recommendations.
The NLC warned that the IMF’s austerity policies have led to higher prices and limited access to essential goods in Nigeria, leaving citizens reliant on insufficient government social safety nets. The union further emphasized that distancing itself from the impacts of such policies undermines the IMF’s credibility and raises doubts about its sincerity.
Calling for Nigeria to reclaim economic sovereignty, the NLC stressed the need for policies rooted in social welfare, equity, and growth, cautioning against continued reliance on external financial guidance that fails to consider Nigeria’s unique context. The NLC added that, without significant reform, it might demand the withdrawal of the IMF and World Bank from Nigeria to prevent further economic instability and hardship.
