The government is defending its economic reforms despite continued pressure from fuel prices and the cost of living.

Nigeria will not restore broad petrol subsidies or return to its former system of multiple foreign-exchange rates, Finance Minister Taiwo Oyedele said October 17. Speaking during the International Monetary Fund and World Bank annual meetings in Bangkok, Oyedele defended the policies as necessary for fiscal stability and investor confidence. BusinessDay reported that the government remains committed to the reforms despite public frustration over rising petrol prices.

The position comes as fuel costs continue affecting transportation, food distribution and household spending. State-owned NNPC has temporarily reduced its retail profit margin to provide some relief, but officials insist the commercial discount does not represent a return to taxpayer-funded subsidies. The policy creates a difficult calculation for Nigeria’s government: maintaining financial reforms may improve fiscal conditions over time, but consumers are experiencing the immediate costs. The durability of those reforms will depend partly on whether households begin seeing improvements in purchasing power, employment and daily affordability.