By Clement Abayomi
Nigeria has emerged as one of the countries hit hard by rising fuel prices worldwide despite being a leading oil producer.
The cause of this rise has been attributed to the tensions between the US, Iran, and Israel.
Nigeria, with large refineries, has witnessed an increase in domestic petrol prices by nearly 40% since the conflict began.
Business Insider Africa (BIA) reported that these surges show how global shocks and local economic issues continue to drive up costs for Nigerian citizens.
According to Investorsight, Nigeria’s gasoline prices rose by 39.5%, ranking the country second globally for the steepest price hikes. This increase has occurred because the fuel market is now deregulated.
As a result, local pump prices have responded quickly to international oil costs and the fluctuating value of the naira.
The price hikes have been visible at both private and government levels. The Dangote Refinery, as reported by BIA, has increased its wholesale price from ₦774 to ₦874 per litre.
Consequently, retail prices in several areas have moved between ₦1,075 and ₦1,175 per litre. Meanwhile, the Nigerian National Petroleum Corporation (NNPC) has seen even higher prices, with pump prices rising from ₦900 to as much as ₦1,400 per litre in major cities.
Nigeria has historically exported crude oil. However, it has also struggled with an unstable refining system.
The Dangote Refinery, as reported by BIA, has not yet fully stabilised the domestic supply, which has left the nation exposed to global market shocks.
The weak naira has also made it more expensive to process and distribute fuel, further pushing up prices.
For More Details, Visit New Daily Prime at www.newdailyprime.news
