Concerns over Nigeria’s economic direction have resurfaced as the Emir of Kano, Muhammadu Sanusi II, warns that inconsistent fiscal decisions could weaken the impact of ongoing reforms designed to stabilise the economy.

Speaking in Lagos at a public lecture, the former Central Bank governor raised questions about continued government borrowing despite the removal of fuel subsidies, a policy expected to ease pressure on public finances. He argued that the expected fiscal relief has yet to translate into reduced debt or noticeable improvements in citizens’ welfare.

Sanusi’s remarks come at a time when the Federal Government, led by Bola Tinubu, is seeking legislative approval for fresh external borrowing to fund infrastructure, including a proposed highway linking northern and southern regions. The plan has drawn scrutiny from stakeholders who say the country must balance development needs with debt sustainability.

The former apex bank chief said the challenge is not the reforms themselves, but how they are being implemented. According to him, key policies such as subsidy removal and foreign exchange liberalisation were necessary but may have been executed without adequate coordination, leading to economic strain, including pressure on the naira.

He explained that past reliance on subsidies and controlled exchange rates created structural imbalances that required correction. However, he stressed that reforms must be supported by disciplined fiscal management and proper sequencing, warning that poor timing could trigger instability rather than growth.

While acknowledging progress in domestic refining and reduced reliance on fuel imports, Sanusi cautioned that public confidence depends on visible outcomes. He added that without clear improvements in living conditions and a slowdown in borrowing, Nigerians may begin to question the long-term benefits of the government’s economic strategy.