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CPPE backs FG reforms, urges shift from economic stability to productivity

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The Centre for the Promotion of Private Enterprise (CPPE) has backed the Federal Government’s economic reform programme, saying the measures have produced measurable improvements in Nigeria’s fiscal and macroeconomic position.

The group, however, said the gains would have limited meaning unless they translate into higher productivity, increased investment, more jobs and improved living standards for Nigerians.

The CPPE made the position known in a statement issued by its Chief Executive Officer, Muda Yusuf, on Sunday, five days after the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, presented the Federal Government’s economic reform scorecard.

The scorecard, presented on 19 August in Abuja, assessed the benefits, costs and potential harms prevented by the reforms introduced by President Bola Tinubu’s administration.

The reforms, which include the removal of the petrol subsidy and changes to the foreign exchange market, have significantly altered Nigeria’s fiscal and economic landscape since June 2023.

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While the government said the measures have strengthened public finances, improved foreign exchange stability, and restored investor confidence, they have also increased the cost of living and of doing business, with Nigerians continuing to contend with high food, energy, and financing costs.

Mr Yusuf said the government’s disclosure of the reform outcomes was important because transparency was necessary to build public confidence in the measures.

“Such transparency is critical to reform credibility,” he said, while welcoming what he described as the minister’s balanced acknowledgement of both the gains and adjustment costs of the reforms.

‘Stability must translate to better lives’

According to the CPPE, the reforms have delivered improvements in government revenue, foreign exchange market stability, external reserves, trade balance and investor confidence.

It noted that Nigeria’s real Gross Domestic Product growth strengthened to 3.89 per cent in the first quarter of 2026, from 3.13 per cent in the corresponding quarter of 2025.

However, Mr Yusuf said improved economic indicators should not become the ultimate measure of the reforms.

“Macroeconomic stability is a means, not an end.”

“The real test is whether stability translates into higher productivity, stronger investment, more jobs, lower poverty and improved living standards.”

He added that the transition remained incomplete, noting that households continued to face pressure on their purchasing power while businesses were dealing with high energy, financing, logistics and regulatory costs.

The CPPE therefore urged the government to make productivity and competitiveness the focus of the next phase of its reform programme.

The call comes against the background of the government’s own admission that household welfare remains an unfinished aspect of the reforms.

At the presentation of the scorecard, the minister acknowledged that the reforms had imposed high costs on Nigerians, including higher petrol prices and interest rates.

He said the Monetary Policy Rate had risen from 18.5 per cent in May 2023 to 26.5 per cent, while petrol prices increased from about N185 per litre before subsidy removal to between N1,100 and N1,400.

He also noted that poverty and household welfare recovery remained areas where the government could not yet claim victory.

States must show what higher revenues are achieving

The CPPE also raised concerns about how the increased fiscal resources available to state governments are being utilised.

It said the reforms had substantially expanded the fiscal space of state governments through increased statutory allocations and, in some cases, stronger internally generated revenue.

Mr Yusuf noted that the additional resources should result in visible improvements in public services.

“Citizens should demand measurable outcomes in roads, healthcare, public transportation, education, agricultural infrastructure, security, power and enterprise support,” he said.

He warned that higher revenues should not simply finance increased recurrent expenditure and prestige projects.

“Higher revenues must produce a visible development and welfare dividend.”

In its reform scorecard, the Federal Government said N15.8 trillion in subsidy savings accrued to the Federation between June 2023 and December 2025.

Of that amount, N5.4 trillion went to the Federal Government, while state and local governments shared N10.4 trillion.

The CPPE said the increased fiscal space should therefore be reflected in better development outcomes at the subnational level.

Electricity, logistics, and financing remain major obstacles

Mr Yusuf said the government’s next reform priority should be the supply side of the economy, particularly the structural constraints that continue to make production expensive in Nigeria.

He identified electricity, logistics, insecurity, agricultural productivity, infrastructure, regulatory costs and access to affordable capital as major constraints to businesses.

The CPPE pointed to the contraction of the electricity sector by 15.3 per cent in the first quarter of 2026, compared with growth of 3.29 per cent in manufacturing and 3.15 per cent in agriculture.

It said stronger growth in the productive sectors would require a deliberate reduction in the cost of these critical inputs.

The group also called for a trade policy that protects industries and agricultural producers with genuine local capacity from unfair import competition, while ensuring that producers can access critical inputs that are not sufficiently available locally.

Mr Yusuf also raised concerns about the prevailing high-interest-rate environment.

He said that as inflation moderates, stronger coordination between fiscal and monetary authorities should create room for a gradual reduction in financing costs without undermining macroeconomic stability.

CPPE warns against reversing reforms

Despite its concerns about the costs and implementation of the reforms, the CPPE said reversing them would be damaging to the economy.

READ ALSO: Tinubu’s reforms yielding results, GDP rises to $375bn — Yilwatda

Mr Yusuf said abandoning the reform trajectory could undermine investor confidence, weaken fiscal stability and destabilise the foreign exchange market.

“Reversing the reforms would be profoundly damaging to the economy.”

He, however, called for the government to continuously adjust the reform instruments based on evidence, implementation experience and their impact on businesses and households.

“The reform trajectory should therefore be sustained, while implementation is continuously refined in response to emerging realities,” he said.

According to the CPPE, the next phase of the reforms should move decisively from economic stabilisation to productivity, while ensuring that higher government revenues translate into better development outcomes and that improving macroeconomic indicators eventually result in higher incomes, more jobs and better living standards.


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Uber’s exit from Nigeria highlights workers’ exposure to AI risks

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Isiaka Agbaje wobbled through the parking space of the Murtala Muhammed International Airport, Lagos, as the afternoon sun baked human skin with fiendish delight. It was the third week of October, and elementary schools had just resumed. A frustrated cab driver, Mr Agbaje, said he has struggled to provide for his family in recent years despite working nearly 14 hours daily.

“The children, my children, are already complaining over their school fees that I haven’t paid, yet I barely make enough even to feed the family,” said Mr Agbaje, 42, with resignation written on his face. He told PREMIUM TIMES that the ride-hailing business no longer pays his bills, amid rising costs and domestic economic pressures.

“It was bad before, but it’s even worse now that Uber has left the country,” he added.

Mr Agbaje’s ordeals aren’t peculiar to him, PREMIUM TIMES gathered from extensive interviews with nearly a dozen cab drivers operating in Lagos, Nigeria’s commercial nerve centre, Abuja, and other parts of the country. Responses from the cab drivers highlight the precarity of platform labour in Nigeria and parts of Africa, as adoption of artificial intelligence deepens.

On September 2, Uber confirmed it was discontinuing its operations in Nigeria after 12 years in one of Africa’s biggest markets. It also announced a similar exercise in Uganda, adding that the decision followed a review of its business priorities and investment focus across Africa.

Although Uber didn’t officially link its exit from the Nigerian market to investment in AI efficiency, the developments illustrate the impact of artificial intelligence in the platform economy and how workers become susceptible to risks as technology and business priorities evolve.

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Meanwhile, the next day, 3 September, Uber and British AI company Wayve launched supervised autonomous ride-hailing services in London. The service allows passengers to be matched with electric vehicles equipped with Wayve’s AI Driver technology. The vehicles initially operated with licensed safety drivers onboard. The move followed its global restructuring plans—including cutting about 3,300 jobs—to redirect savings and investments into autonomous vehicles and robotaxi partnerships.

The company’s departure from Nigeria and its growing investment in artificial intelligence (AI) and autonomous ride-hailing have raised questions about the security of jobs and livelihoods tied to digital platforms, particularly for drivers who depend on ride-hailing companies for income and survival.

Operating Challenges

Long before it exited the two countries, ex-Uber drivers interviewed by this newspaper described how rising fuel prices, high commissions, and fare disputes affected their earnings.

These challenges left them struggling to cover operating costs, amid severe pressures to meet personal financial obligations. Their experiences mirrored the vulnerability of platform workers whose access to customers and income depends on decisions made by technology companies.

Samuel Adeoti, a cab driver, said one of the biggest challenges was that the fares failed to keep pace with rising fuel prices and other operating expenses. He said Uber’s commission, which he put at 35 per cent, left drivers with little money after paying for fuel, vehicle maintenance and other expenses.

“The same price we worked with when the fuel price was low, [was] still the same when the price was high; at that point, it didn’t favour the drivers,” Mr Adeoti said.

Speaking about the pressure drivers faced, he gave a hypothetical example of a ₦10,000 trip, from which he said Uber deducted ₦3,500 in commission, leaving ₦6,500 with the driver. After spending about ₦5,000 on fuel, he said a driver would have just ₦1,500 left to cover other costs.

“From the remaining ₦1,500, you have car maintenance and still deal with the task force, police, road safety, etc.,” he said. Mr Adeoti said these expenses made it difficult for drivers to maintain their vehicles and support their families.

Left in the lurch

In 2023, shortly after being sworn in, Nigeria’s President Bola Tinubu introduced some sweeping reforms in Nigeria’s foreign exchange market and the downstream petroleum sector as part of measures to address fiscal imbalances in the economy.

The government abolished what it termed a wasteful subsidy regime and harmonised the foreign exchange market, with an attendant increase in the cost of living and general price levels.

This significantly impacted cab drivers on Uber and other mobility platforms, eating deep into their earnings.

Lanre Mustapha, an ex-Uber driver, said the company failed to adequately address drivers’ complaints about fares and commissions amid sky-high domestic prices.

“They didn’t give us a chance to see what we were talking about concerning the price we charge and the economic situations [in Nigeria],” he said.

Mr Mustapha said drivers had protested against low fares about six months before Uber left Nigeria, but the company failed to address their concerns.

John Promise, 39, another driver on the platform, told PREMIUM TIMES that the drivers remained on the platform notwithstanding because they had no better options and didn’t want to lose access to their customers.

For workers already struggling to cover operating costs, Uber’s exit also meant losing access to a platform through which they had secured customers.

New platforms, fresh uncertainties

As the complaints mounted before Uber exited the Nigerian market, some drivers had already moved to competing ride-hailing services in search of better earnings. Still, the transition did not necessarily resolve their problems.

Mr Mustapha, who said he migrated to InDrive, another ride-hailing platform, described uncertainty over account suspensions on the alternative platform as a major challenge.

“I am with InDrive, and they too have started these ‘unfortunate behaviours’. For instance, you can wake up in the morning to work and discover you have been permanently blocked. Why? They won’t state the reasons,” he said. His experience highlights another concern for platform workers: access to work can depend on an account remaining active, while a suspension can disrupt earnings.

Innocent Ogwuche, another ex-Uber driver, said he initially had a positive experience with the service because of its app and safety features. But things changed when fuel prices increased, and the automated fares charged on the platform failed to keep pace with the cost of operating his vehicle.

“Uber is not the one fuelling your car, Uber is not the one doing your maintenance,” he said, lamenting inadequate compensation for trips delayed by traffic. He said he repeatedly faced technical problems while accessing his driver account, which contributed to his decision to leave the platform.

AI and the future of work

Like in Nigeria, Uber’s exit from key African markets and significant investments in AI raise important questions about the precarity of platform labour.

The development demonstrates how AI tools are increasingly being integrated into tasks previously performed by humans, with ripple effects on the sustainability and survival of workers in the platform economy.

READ ALSO: Uber exits Nigeria after 12 years of operation

Earlier this year, the World Bank released a report titled World Development Report 2026: The Promise of Artificial Intelligence, which assesses how AI impacts 5.6 billion people in low- and middle-income countries and offers a roadmap for developing economies to harness artificial intelligence despite severe resource gaps. The report showed that AI offers a rare path to accelerate growth at a time when global development progress has dipped to its weakest pace in 75 years. It can help bridge chronic gaps in key areas such as health, agricultural guidance for farmers, and basic administrative support for governments. Across economies, especially in the developing world, the report urged policymakers to follow a structured three-step approach: adopt existing AI tools, tailor the tools to local realities, and develop the technology.

Meanwhile, the report also cautioned that traditional work faces targeted white-collar disruption, entry-level hiring freezes, and widening productivity gaps. While mass automation is less immediate in developing economies—where only 4.5 per cent of jobs are highly exposed compared to 14.2 per cent in wealthy nations—the report warns of several major threats to traditional employment, with tendencies that economic benefits from AI tend to flow toward business and capital owners rather than wage workers.

On 22 October, Uber announced a separate expansion of its AI adoption, making ChatGPT Work available to more than 30,000 employees globally after an initial pilot involving 1,000 workers. Through initiatives like Uber AI Solutions and Digital Tasks, Uber also lets drivers and contractors earn money by labelling data, recording voice prompts, and evaluating AI responses during downtime.

Digital labour sociologist Antonio Casilli describes this move as a “Great Digital Labour Convergence”, adding that merging physical gig work with micro-task data labelling normalises underpaid, algorithmically managed work across more industries while threatening traditional employment protections.

He argued that platforms serve as “testing grounds where industrialists experiment with ideas they plan to roll out across all labour markets, ultimately reshaping labour norms and turning what was once unthinkable into the new standard. “In their wake, even traditionally stable professions have begun to absorb gig-like features—flexible scheduling, task-based pay, algorithmic oversight, and the normalisation of precarious autonomy—blurring the boundaries between formal employment and platform labour,” the scholar argued.

In their book, ‘Notes Towards a Digital Worker’s Enquiry’, Julie Chen, a professor of communications and digital labour, and other scholars examined how previously viewed “unorganizable” digital and precarious workforces are building collective resistance and identifying tactical chokepoints within platform capitalism.

Abubakar Aliyu, a cab driver based in Abuja, agrees that platform workers need to strengthen engagement for collective protection as the ecosystem becomes increasingly precarious.

He said a union, the Amalgamated Union of App-Based Transport Workers of Nigeria (AUTTWON), represents ride-hailing and app-based transport drivers (such as Bolt, InDrive, etc.). They use strikes, fare boycotts, and court actions to push back against algorithmic control, he explained.

He added, however, that because the platforms often treat workers as independent contractors rather than employees, they use legal technicalities and grey areas to avoid collective bargaining agreements and demands for better service conditions.

“We are also getting there; we are engaging, rather slowly, but there are challenges,” he said, with uncertainties written on his face.


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UN secretary-general marks last climate summit with call to make polluters pay

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António Guterres, the United Nations secretary-general, has renewed his call to hold fossil fuel companies accountable by making them pay for the harm their actions have done to poorer countries through climate change, marking a defining moment of his last UN climate summit in office.

Mr Guterres gave his final press conference at the 31st Conference of the Parties to the United Nations Framework Convention on Climate Change (COP31) in Antalya, Turkey, as the head of the organisation.

The former prime minister of Portugal has led the UN since January 2017 and exits the role on 31 December, when his second five-year term ends.

Mr Guterres addressed representatives of civil society groups, who gathered Friday to bid him farewell and recognised him with an award for using the UN’s platform to confront the world’s most powerful industries.

“You have given a voice to this injustice like no other leader,” Louise Hutchins, convener of the Make Polluters Pay International Coalition, said.

The session was filled with chants of “make polluters pay”, and speakers asked him to return to a future climate summit wearing an NGO badge.

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Mr Guterres told the gathering that the UN’s loss and damage fund now exists but was “funded at a ridiculous level”.

“Those who pollute the least are those who are paying the highest price,” he said.

He urged civil society to apply the counter-pressure needed to help governments understand that things must change.

The UN chief’s final address to a COP leaders’ summit on Wednesday urged governments to levy a tax on oil companies’ windfall profits and use the money to help vulnerable countries recover.

READ ALSO: COP31: What Nigeria, other African countries will push for at UN climate summit

He also proposed a climate justice compact to help countries shift away from fossil fuels, noting that the climate crisis is outrunning the world.

Mr Guterres told the leaders he will no longer be secretary-general from next year, but said, “I will not stop telling the truth.”

At Friday’s press conference, he demanded an immediate and drastic cut in emissions by big emitters.

“You cannot build peace on a burning planet,” he said.

Mr Guterres’ successor has not been announced. The new secretary-general will take office on 1 January 2027 and will lead the UN into the next climate summit (COP32) in Addis Ababa, Ethiopia, later that year.


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