The Nigeria Labour Congress (NLC) has expressed outrage over the recent statement from the International Monetary Fund (IMF), denying involvement in Nigeria’s recent fuel subsidy removal.
The NLC labeled IMF’s position as “cynical,” describing it as part of an ongoing strategy to evade responsibility for the hardships caused by economic policies.
The IMF’s disavowal came from Abebe Selassie, its African Region Director, who stated at the IMF-World Bank annual meetings in Washington, D.C., that Nigeria’s subsidy removal was a “domestic decision.”
NLC President, Comrade Joe Ajaero, in a statement made available to journalists in Abuja, responded sharply to Selassie’s statement, arguing that the IMF’s position is deceptive. He accused the IMF and the World Bank of having a long-standing pattern of recommending policies that often exacerbate economic hardship in Nigeria and other developing nations. “It is pretentious and too late to begin denying complicity when the evidence of IMF and World Bank influence is visible across decades of economic policy,” Ajaero stated.
According to the NLC, the IMF has often pushed for austerity measures under the guise of fiscal sustainability, despite the devastating social costs they entail. While the IMF claims its recommendations are for growth and stability, the NLC argues that these policies have consistently resulted in socioeconomic stagnation, increasing the cost of essential goods and services while stretching the nation’s social safety net to its limits.
The NLC’s criticism of the IMF comes amid widespread discontent in Nigeria over the impact of subsidy removals and price hikes. Many Nigerians are finding it increasingly difficult to afford basic necessities, as government-provided support programmes fail to meet the needs of the most vulnerable.
The statement in part said: “IMF must know that Nigerians are not fools, and we are well aware of the destructive influence of its policy recommendations. It is beyond frustrating to see our government blindly implementing IMF-driven policies that are completely disconnected from our realities.
“It is truly unfortunate that as Nigerians, we have become accustomed to economic hardship every time our government takes the so-called ‘advisory’ of the IMF. And yet, they now want to wash their hands off, pretending they’re not involved. We know better.
“Nigerians deserve a government that prioritizes its people over foreign institutions’ dictates. When we hear the IMF claim this is a ‘domestic decision,’ it’s like seeing Esau’s hands but hearing Jacob’s voice – they may deny their role, but their influence is undeniable.
“It’s hypocritical for the IMF to talk about ‘social protections’ to mitigate the impact of austerity measures. In reality, these protections are mere handouts, like the ‘rice palliatives’ that rarely reach the people who need them most.
“The IMF’s influence in Nigeria has always led to hardship, price hikes, and policies that favour the elite. When they advise cutting subsidies or increasing tariffs, they ignore the long-term effects on the average Nigerian.”
“For too long, the IMF and the World Bank have set economic agendas that prioritise their interests over ours. The Nigerian government must reclaim economic sovereignty if we are ever to see true growth and progress.
“If the IMF’s influence really brought prosperity, why are we seeing more poverty? This is not just about Nigeria – it’s the same story across other African nations forced into these so-called ‘reforms’ that only worsen inequality.
“The IMF should own up to the role it plays in Nigeria’s economic policies instead of hiding behind the pretense of ‘domestic decisions.’ The Nigerian people see through it, and the longer they deny, the more their credibility erodes.
“Our leaders must understand the dangerous implications of IMF policy on Nigeria’s future. When the economy fails, the IMF won’t bear the consequences – it is Nigerians who will suffer.
“NLC stands firm in saying ‘no’ to policies that destroy social welfare in favor of arbitrary fiscal metrics. If we are to prosper, we must break free from the IMF’s grip and rebuild our economy for Nigerians.
“This is a wake-up call for every Nigerian: we cannot rely on foreign institutions to guide our policies. The IMF’s denial is just a reminder of how little they value the social cost of their recommendations.
“We challenge the IMF and World Bank to remove their knees from our necks and give Nigeria space to breathe. For years, their policies have undermined our economy and sabotaged our growth. We may soon demand they leave entirely.
“The government must pursue policies that prioritize Nigerians’ needs, not austerity measures that deepen our economic crisis. It is time to take ownership of our economy and resist foreign influence that has failed us repeatedly.”
NLC then called for a reevaluation of Nigeria’s economic policies, advocating for policies that truly benefit Nigerians and reduce dependence on foreign financial institutions. It emphasizes the need for transparency, accountability, and ultimately, economic autonomy to protect the nation’s future.
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