- As NBS Reveals Decline In City Bus Fares By 13.83% In December 2023
The Federal Government of Nigeria is targeting a 50 percent reduction in transport fares with the Presidential Initiative to deploy Compressed Natural Gas (CNG) mass transit buses.
Nigeria’s Minister of Information and National Orientation, Mohammed Idris, made this known in a statement to the press on Sunday, while urging Nigerians to see the initiative as a relief introduced by Tinubu’s administration to alleviate the economic challenges stemming from subsidy removal.
He also noted that there is a concerted effort among the relevant Ministries and Agencies of the Federal Government to tackle inflation, stabilize foreign exchange rates, and establish a genuinely supportive climate for business and investment.
“Impactful interventions are being rolled out, including a Students’ Loan Scheme, a Presidential Initiative to deploy lower-cost CNG mass transit buses to provide alternatives to petrol and diesel, and various low-interest loan schemes for businesses. The CNG interventions will bring down the cost of transportation by more than 50%.
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“We urge Nigerians to take advantage of these opportunities as they emerge, as they have been designed for the benefit of all.
“All relevant Ministries and Agencies of the Federal Government are working in coordinated fashion, to bring down inflation, stabilize foreign exchange rates, and create a truly enabling environment for business and investment.”
Meanwhile, the National Bureau of Statistics (NBS) Transport Watch for December 2023 has revealed a decline in the average fare paid by city commuters for bus journeys per drop, dropping to N902.70 from N1,047.64 in November 2023, marking a 13.83% decrease.
The NBS report further notes that year-on-year, the average fare paid by city commuters for bus journeys per drop increased by 40.93%, rising from N644.65 in December 2022.
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In a separate category, the average fare for intercity bus journeys per drop in December 2023 was N7,402.16, indicating a 19.26% monthly increase from N6,206.53 in November 2023. On a year-on-year basis, this fare rose by 86.40% from N3,971.22 in December 2022.
The Transport Watch also highlighted that the average fare for specified air routes single journey was N85,692.12 in December 2023, a 5.36% increase compared to November 2023. Year-on-year, the fare rose by 14.87% from N74,597.30 in December 2022.
For Okada transportation, the average fare was N419.73 in December 2023, reflecting an 11.29% decline from November 2023 (N473.13). On a year-to-year basis, the average fare decreased by 9.04% compared to December 2022 (N461.45).
Water transport saw an average fare increase to N1,386.76 in December 2023 from N1,352.70, representing a 2.52% monthly rise. Year-on-year, this fare increased by 34.77% from N1,029.00 in December 2022.
