The All Progressives Congress has defended President Bola Tinubu’s economic reforms, saying the removal of petrol subsidy has increased government revenues and improved the business environment.

The defence came as the African Democratic Congress challenged the Federal Government to account for the additional revenues generated from subsidy removal and explain how Nigerians had benefited from the reforms.

The ADC, through its National Publicity Secretary, Bolaji Abdullahi, said figures attributed to the Minister of Finance showed that subsidy removal and foreign exchange reforms generated about N15.8 trillion in additional resources for the Federation between June 2023 and December 2025.

It said about N5.4 trillion went to the Federal Government, N5.4 trillion to states and N3.9 trillion to local governments.

The party also noted that states received N47.25 trillion in Federation Account Allocation Committee allocations between 2023 and 2025, with monthly FAAC distributions rising above N2 trillion.

The ADC, however, argued that increased government revenues had not translated into improved living conditions for Nigerians, citing rising food and transport costs as evidence.

It challenged the APC to explain whether Nigerians were better off after three years of what it described as unprecedented economic sacrifice.

Meanwhile, the Technical Assistant on Regional Development Programmes in the Office of the Vice President, Dr Hafiz Abdullahi, said the administration’s reforms were restoring confidence in Nigeria’s business environment and creating opportunities for entrepreneurs.

Abdullahi attributed improved business confidence partly to developments in the foreign exchange market, saying the reforms had helped stabilise businesses dependent on imported goods.

Also defending the reforms, APC National Chairman, Nentawe Yilwatda, warned against proposals to restore petrol subsidy.

Yilwatda said returning to the previous subsidy regime could lead to fuel queues, threaten the sustainability of the new minimum wage and reduce funding available for education and other essential services.

He said increased federal allocations following subsidy removal had strengthened the finances of many states, enabling them to meet salary and pension obligations and undertake development projects.

The APC chairman urged Nigerians to subject proposals for subsidy reinstatement to rigorous economic scrutiny, warning against returning to what he described as a fiscally unsustainable regime.

The debate comes as political parties intensify preparations for the 2027 general elections, with economic reforms and the impact of subsidy removal emerging as major campaign issues.