President Bola Tinubu has announced plans to sell Nigeria's crude oil in naira to reduce foreign exchange risks and transaction costs, aiming to strengthen the local currency and improve economic stability.
Speaking at the 8th Nigeria International Energy Summit (NIES 2025) in Abuja, Tinubu—represented by Dr. Doris Uzoka-Anite, Minister of State for Finance—stated that this policy would boost local refineries, lower fuel prices, and support economic growth.
Key Highlights:
Boosting Refining Capacity: Selling crude in naira will make local refineries more competitive and lower fuel costs.
Strengthening the Naira: Reducing reliance on forex for crude transactions will stabilize the economy.
Economic Growth: Affordable petroleum products will improve living standards and spur business growth.
Subsidy Removal Cushion: The policy is expected to mitigate the effects of subsidy removal.
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Tinubu reaffirmed his administration's commitment to energy sector reforms, highlighting Nigeria's selection as the headquarters for the African Energy Bank as a key milestone.
He also emphasized efforts to enhance crude oil production, improve security, and promote indigenous participation through executive orders.
The government is advancing major gas infrastructure projects like the Ajaokuta-Kaduna-Kano Gas Pipeline and implementing the Presidential Compressed Natural Gas Initiative (P-CNGI) to expand clean energy access.
Additionally, tax reforms are underway to attract investments and stimulate business growth.
With the Port Harcourt and Warri refineries set to come on stream, Nigeria's refining capacity will rise, leading to lower fuel costs. Tinubu also revealed plans to develop a hydrogen energy policy to diversify the nation's energy mix.
