Compensation mechanisms for fuel subsidy removal in Nigeria

This study conducts a detailed analysis of the compensation mechanisms that could be used to mitigate the impact of fuel subsidy removal on weak and vulnerable segments of Nigerian society. The study suggests actionable proposals that the government could pursue if it decides that it must mitigate the social impact of ongoing future price increases as well as pro-poor policies in which the government could invest as part of its general budgeting, given the fiscal space created by subsidy reforms.