Nigeria is facing a sharp rise in fuel prices, despite the commissioning of the Dangote refinery, the largest in Africa.
Prices have surged by about 65 percent, the largest increase among major African economies. The refinery was expected to reduce imports and stabilize costs, but Nigeria remains heavily reliant on foreign crude oil. Much of its domestic oil production is tied up in repaying debts to international lenders and energy companies, limiting local supply.
The situation has been aggravated by the ongoing conflict in the Middle East, which has disrupted global supply chains and driven the price of oil above $100 a barrel.
For Nigerians, the consequences are immediate and severe. Transportation costs have increased, food prices have sometimes doubled, and businesses are facing rising operating costs. With electricity supply erratic across the country, many households and businesses rely on gasoline-powered generators, making them particularly vulnerable to price increases.
The government has chosen not to reinstate fuel subsidies, preferring to focus on long-term market reforms and limited short-term relief measures.
