Pleading acute shortage of funds, the federal government monday said it would begin a gradual withdrawal of fuel subsidy next year. The Minister of State for Petroleum, Dr. Ibe Kachikwu, who disclosed the government’s decision while appearing before the Joint National Assembly Committee on Finance, Appropriation and National Planning on the consideration of Medium Term Expenditure Framework (MTEF), said the subsidy put at over N1 trillion in 2015 was no longer sustainable. The federal government’s decision to shave off fuel subsidy coincided with reports that tumbling crude oil prices might adversely affect the nation’s 2016 budget. According to Reuters, crude oil price tumbled four per cent yesterday to $36-40 per barrel, coming close to its 11-year low, and potentially endangering the implementation of the 2016 budget, which is predicated on oil price of $38 per barrel and output of 2.2 million barrels of crude per […]