Leemon Ikpea: Tinubu Must Resist Pressure, Sustain Bold Reforms

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Chairman of Lee Engineering Group, Chief Leemon Ikpea, in this piece, maintains that President Bola Tinubu must resist pressure to abandon his bold economic reforms. He insists that the measures are necessary to reposition Nigeria for sustainable growth.  For Ikpea, the Tinubu administration’s reform agenda must be assessed not only by the immediate sacrifices it has imposed on Nigerians but also by its potential to correct longstanding economic distortions, strengthen public finances, improve national security and reposition the country in the global investment community, writes Emmanuel Addeh.

Why Tinubu Must Continue with Current Reforms

Ikpea reasons that Nigeria cannot continue to postpone difficult economic decisions and expect a different outcome. For decades, the country operated an economic system that placed enormous pressure on public finances, discouraged investment and limited the resources available for critical infrastructure and social services. The consequences were visible in the persistent challenges of inadequate infrastructure, weak public revenue, foreign exchange pressures and the difficulty of creating sufficient employment opportunities for a growing population.

The removal of petrol subsidy and the reform of the foreign exchange market marked a significant departure from this pattern. Although the consequences have been difficult for households and businesses, the measures, the businessman points out, have created an opportunity to address structural weaknesses and establish a more sustainable foundation for economic growth.

For Ikpea, the important thing is for the government to remain focused on its objectives rather than succumb to pressure to reverse policies whose benefits may take time to materialise.

“President Tinubu has demonstrated the courage to take decisions that previous administrations found difficult to implement. These are not easy decisions, and we must acknowledge that Nigerians are making sacrifices. However, we must look at the bigger picture and ensure that these reforms deliver lasting benefits for the country,” he says.

He argues that consistency is essential to restoring confidence among investors, who need predictable policies to make long-term commitments. According to him, businesses planning investments in manufacturing, energy, infrastructure and other productive sectors require a clear understanding of the economic environment in which they will operate.

For Ikpea, frequent reversals of major policies could increase uncertainty and discourage the very investments Nigeria needs to expand production and create jobs.

Therefore sustaining the reforms must involve more than maintaining existing policies, he points out. It requires improving implementation, strengthening institutions, ensuring transparency and establishing mechanisms through which Nigerians can see tangible benefits from the changes, he adds.

The government, therefore, must continue to pursue policies that expand economic opportunities while providing targeted support for vulnerable Nigerians. Such an approach, he argues, would help preserve public confidence without sacrificing the objectives of the reform programme.

Move for Better Military Welfare

For a country confronting terrorism, banditry, kidnapping and other security threats, the welfare of military personnel remains a critical national priority. The Tinubu administration’s approval of a salary increase for members of the armed forces, according to the Edo-born entrepreneur, represents an important recognition of the sacrifices made by personnel deployed to protect lives and property.

The increase, which took effect on September 1, 2026, provides for adjustments ranging from 30 per cent to 80 per cent across different categories of military personnel. The annual military salary bill is expected to rise from N660 billion to N924 billion, reflecting the government’s decision to commit additional resources to improving the conditions of service.

According to him, the demands of military service extend well beyond the ordinary responsibilities of public employment. Personnel deployed to conflict zones, he argued, often operate in dangerous environments, spend long periods away from their families and face the physical and psychological pressures associated with confronting armed groups.

Ikpea believes that those who risk their lives to defend Nigeria deserve the support and appreciation of the government and citizens.

“Our military personnel are making enormous sacrifices to keep Nigeria safe. Many of them operate in extremely difficult and dangerous conditions, often far away from their families. Improving their welfare is not just a reward for their service; it is an investment in our national security,” he says.

He maintains that better remuneration can strengthen morale and reinforce the recognition that the sacrifices of military personnel matter to the country they have sworn to protect. “A government that prioritises the welfare of its security personnel also sends an important signal about the value it places on national security,” he adds.

He argues that national security and economic development are closely connected. For this reason, he sees the government’s intervention in military welfare as a welcome step that should be sustained alongside other efforts to strengthen the country’s security architecture.

Relief Through Fuel Discount, CNG

The removal of petrol subsidy has increased transportation costs, putting additional pressure on households and businesses. The government’s efforts to expand Compressed Natural Gas (CNG) as an alternative fuel, he emphasises, therefore represent an important component of its response to the economic difficulties associated with the reforms.

 Expanding the use of CNG, according to Ikpea, offers an opportunity to diversify the country’s energy mix, reduce dependence on conventional automotive fuels and lower operating costs for transport operators where the infrastructure and economics support its adoption.

“This administration has pursued vehicle conversions, refuelling infrastructure and partnerships with private operators to expand access to alternative-energy transportation. These initiatives are intended to encourage transport businesses and individual vehicle owners to consider cheaper fuel alternatives while creating opportunities for domestic investment. The President needs our support,” Ikpea notes.

Initiatives such as CNG, alongside targeted fuel discounts and other relief measures, he explains, demonstrate the importance of combining structural reforms with practical interventions to cushion their impact.

“Removing the subsidy was a difficult but necessary decision. However, initiatives such as CNG and targeted fuel discounts can help reduce the burden on households and businesses while allowing the country to move towards a more sustainable energy system,” he says.

For him, the value of CNG extends beyond the immediate reduction in transportation expenses. The programme could stimulate investment in gas infrastructure, support local engineering and manufacturing businesses, create technical employment and strengthen the domestic utilisation of Nigeria’s natural resources.

He believes that Nigeria should take advantage of its gas endowment to develop an energy system that supports industrial expansion and reduces the cost of doing business. A more affordable transportation system, he states, would also help businesses move goods more efficiently, with potential benefits for agriculture, manufacturing, distribution and retail trade.

The government, he says, is also working with private investors to expand the infrastructure required to make alternative fuels commercially viable. Fuel discounts have also been recently launched through NNPC stations nationwide.

The ultimate objective of this move, he argues, is to reduce the cost of moving people and goods without recreating the fiscal problems associated with the old subsidy system.

State Police One of Tinubu’s Best Decisions

According to Ikpea, the growing demand for a more effective response to insecurity has spurred the president’s renewed attention to the establishment of state police. The proposal seeks to bring policing closer to communities, strengthen local intelligence gathering and improve responses to threats that vary from one state to another.

He explains that Nigeria’s geographical size, population and complex security environment place considerable demands on the existing police system. Communities facing kidnapping, banditry, communal violence and other criminal activities often require rapid responses informed by detailed local knowledge.

For Ikpea, the establishment of state police represents an opportunity to address the limitations of a highly centralised policing structure and develop a system better equipped to respond to local security challenges.

“Security is fundamental to development. Our farmers must be able to go to their farms without fear, businesses must operate in a safe environment, and communities must have confidence that help will come when they need it. State police can bring security closer to the people if the system is properly designed and implemented, like the president is doing.

“A decentralised policing structure could improve intelligence gathering, strengthen community engagement and enable authorities to respond more quickly to security threats within their jurisdictions. Local knowledge can be particularly valuable in identifying criminal networks, understanding community dynamics and preventing threats before they escalate.

“Don’t forget, the economic implications are equally important. Insecurity disrupts agricultural production, increases business operating costs, discourages investment and prevents communities from participating fully in productive activities. It can also undermine infrastructure development and limit access to essential services.This is what I believe Tinubu is trying to stop,” he maintains.

Ikpea, however, believes that state police must be supported by appropriate constitutional and legal safeguards. Questions concerning funding, recruitment, training, operational standards, accountability and respect for fundamental rights must be addressed to ensure that the system serves the public interest.

He argues that state police will complement federal security institutions rather than create competing structures. “ The president’s priority, I think, is to sustain the political commitment to the reform while ensuring that the resulting framework is practical, accountable and capable of delivering improved security at the grassroots,” he contends.

Not in Nigeria’s Interest to Return Subsidy

Among the most consequential decisions of the Tinubu administration is the removal of petrol subsidy, a policy that has generated considerable public debate because of its immediate impact on the cost of living.

Before its removal, subsidy payments placed a significant burden on public finances, limiting the resources available for infrastructure, healthcare, education, security and other national priorities. The system also created market distortions and opportunities for abuse, while the benefits were not always distributed equitably among Nigerians.

Although the transition has been painful, Ikpea believes that returning to the old arrangement would risk recreating the fiscal challenges the government sought to address.

“We cannot continue to spend enormous public resources sustaining a system that is not economically sustainable. The removal of petrol subsidy was a difficult decision, but reversing it would mean returning to the same problems that held our economy back. What we need now is to make the reforms work for Nigerians,” he says.

“The government’s responsibility is to ensure that the resources freed up by the policy are managed transparently and channelled towards productive investments and interventions that improve citizens’ welfare. And I think that is what the Bola Tinubu government is doing,” he stresses.

He believes that investments in public transportation, road infrastructure, electricity, healthcare and education can help improve living standards while strengthening the productive capacity of the economy, while targeted assistance for vulnerable households is also providing relief without recreating the broad fiscal commitments associated with the former subsidy system.

The private sector, in his view, must play a central role in this transition. A more predictable economic environment, he explains, can encourage businesses to invest, expand operations and create employment.

He also argues that the additional fiscal space created by subsidy removal has produced visible benefits, with more effective use of government resources.

Rising Investor Confidence

Nigeria’s reform programme has attracted renewed attention from international investors and financial institutions, with developments in credit ratings and market classifications providing indications of changing perceptions of the country’s economic outlook.

Chief Ikpea says Nigeria’s improving standing with international credit-rating agencies is another indication of the growing recognition of the Tinubu administration’s economic reforms, listing Moody’s, S&P Global Ratings and Fitch Ratings as having all taken positive rating actions on Nigeria.

Moody’s revised the country’s outlook to positive in August 2026, retaining its B3 rating, while S&P upgraded Nigeria’s rating from B- to B in May 2026. On October 9, Fitch revised Nigeria’s outlook from stable to positive and affirmed its B rating, citing reforms, stronger foreign exchange reserves and improvements in the country’s external financial position. JPMorgan has softened its disposition to the country.

These assessments, according to him, suggest that international observers are beginning to recognise the potential benefits of the government’s policy changes.

For Ikpea, the improved assessments could have important implications for Nigeria’s economic prospects. Stronger credit ratings and positive outlooks can improve investor confidence, help Nigerian governments and companies attract foreign capital and potentially reduce borrowing costs over time, particularly if further rating improvements follow.

Greater confidence, he posits, could also encourage investment in manufacturing, oil and gas, infrastructure and other productive sectors, supporting employment and economic diversification.

“Investors want to see consistency, transparency and a government that is prepared to take the necessary decisions to create a stable business environment. When policies become more predictable and the economy is managed more sustainably, confidence improves and investors are more willing to consider long-term commitments,” he says.

He argues that Nigeria must build on this momentum by improving the business environment, strengthening regulatory institutions and addressing the infrastructure constraints that increase the cost of operating in the country.

For a nation with significant opportunities in oil and gas, manufacturing, agriculture, infrastructure and technology, stronger investor confidence, he argues, could support economic diversification, expand productive capacity and create employment.

Ikpea also believes that domestic businesses are benefiting from the changing economic environment. Nigerian companies require access to financing, reliable infrastructure and a predictable policy framework to expand their operations and compete effectively.

“The ultimate objective is to convert improved perceptions into investment, stronger production, job creation and better living standards, which I feel is ongoing and the president knows and he’s doing everything to achieve,” he opines.

According to him, Nigeria has an opportunity to correct longstanding economic weaknesses, improve its security architecture and build a more competitive economy. Abandoning the reform programme prematurely, he argues, could undermine the progress achieved and restore the distortions that made decisive action necessary.