President Bola Tinubu’s administration has officially started selling crude oil and refined petroleum products in naira, marking a transformative shift in the country’s energy market.
Recall that on October 6, the Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun announced that the sale, in accordance with an instruction from the Federal Executive Council (FEC), commenced on October 1, 2024.
Following a post-launch review meeting by the Implementation Committee, key stakeholders, including representatives from the Ministry of Petroleum, NNPC, and Dangote Group, confirmed the successful rollout of the initiative.
The move, however described as a strategic step by Mr Tinubu’s administration, is expected to bolster Nigeria’s economy by promoting growth, stability, and self-sufficiency.
The decision to trade crude oil in naira is part of a broader agenda to strengthen the local currency and reduce the nation’s reliance on foreign exchange. It also aims to position Nigeria for greater economic resilience in the face of global market fluctuations.
The sale of crude oil in naira to local refineries, such as Dangote Refinery, was initially approved in July 2024.
The Nigerian Ports Authority (NPA) is working to ensure smooth coordination among stakeholders for this initiative.