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Dangote ends naira fuel sales, pegs petrol at $0.779 per litre in major pricing shift

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Dangote raises petrol price 6.7% to N1,350/litre

Dangote ends naira fuel sales, pegs petrol at $0.779 per litre in major pricing shift

Dangote Petroleum Refinery has officially transitioned to United States dollar-denominated sales of refined petroleum products, ending naira-based transactions for most products and introducing a new pricing regime expected to significantly influence fuel prices, petroleum marketers and Nigeria’s deregulated downstream oil sector.

Under the new pricing template, which took effect on Monday, July 13, 2026, the refinery fixed the ex-depot price of Premium Motor Spirit (PMS), popularly known as petrol, at $0.779 per litre. It also pegged the price of Automotive Gas Oil (AGO), commonly known as diesel, at $1.087 per litre, while aviation fuel (Jet A-1) will now sell at $0.942 per litre. Coastal deliveries of petrol have also been priced at $1,044.62 per metric tonne.

The development marks one of the most significant commercial policy changes by the 650,000 barrels-per-day Dangote Refinery, effectively ending the naira-denominated fuel sales introduced under the Federal Government’s naira-for-crude initiative, which commenced on October 1, 2024, to encourage domestic refining, reduce pressure on Nigeria’s foreign exchange reserves and stabilise fuel prices.

In a circular issued to petroleum marketers and customers, the refinery announced that all previously issued naira-denominated Proforma Invoices (PFIs) and Deal Recaps for both gantry and coastal transactions had become invalid following the transition to dollar transactions.

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The notice, signed by the refinery’s Group Commercial Operations, instructed customers not to make payments against any cancelled naira invoices, stating that all future purchases would be settled exclusively in United States dollars.

According to the refinery, the revised pricing structure applies to petrol, diesel and aviation fuel, while Liquefied Petroleum Gas (LPG) remains exempt and will continue under its existing payment arrangement.

Industry experts say the transition reflects changing commercial realities facing the refinery, particularly the increasing use of dollar-denominated crude oil supply contracts.

Sources familiar with the development explained that although the refinery previously sold a substantial volume of its refined petroleum products in naira, a growing percentage of the crude oil it processes is now being purchased in dollars.

The resulting mismatch between procurement costs and sales revenue reportedly exposed the refinery to significant foreign exchange risks, especially amid persistent volatility in global crude oil prices and fluctuations in the naira exchange rate.

One senior industry source said the imbalance had become increasingly difficult to sustain.

“Dangote Refinery is receiving fewer naira-denominated crude cargoes while more crude supplies are being paid for in dollars. Continuing to sell refined products largely in naira created significant exchange-rate exposure that became commercially unsustainable.”

Energy analysts believe the refinery’s latest decision aligns its operations with international petroleum trading standards, where crude oil and refined petroleum products are predominantly traded in US dollars.

They note that the new policy is expected to improve the refinery’s financial stability by reducing exchange-rate losses while enhancing its competitiveness in regional and international export markets.

However, the move is also expected to have important implications for Nigeria’s downstream petroleum sector.

Since independent marketers and bulk distributors will now purchase products in dollars, foreign exchange movements are expected to play a more direct role in determining wholesale fuel prices.

Although the refinery has introduced dollar benchmark prices, industry stakeholders emphasise that Nigerians will continue to buy petrol at filling stations in naira.

Retail pump prices will therefore depend on several variables, including the prevailing naira-to-dollar exchange rate, international crude oil prices, transportation and logistics costs, depot charges, regulatory fees, taxes and marketers’ operating margins.

The policy shift has also reignited debate over the future of the Federal Government’s naira-for-crude programme, which was designed to encourage domestic refining, reduce dependence on imported petroleum products and conserve scarce foreign exchange.

Industry observers say the effectiveness of the policy has weakened in recent months as increasing volumes of crude supplied to local refiners gradually reverted to dollar-based transactions.

Some analysts argue that unless crude oil allocations to domestic refineries are consistently supplied under naira-based arrangements, maintaining naira-denominated fuel sales may become increasingly difficult.

Since commencing commercial production, Dangote Petroleum Refinery has rapidly become Nigeria’s largest producer and supplier of refined petroleum products, significantly reducing the country’s reliance on imported petrol, diesel and aviation fuel.

The refinery has also expanded exports to several African countries, positioning Nigeria as an emerging regional refining hub.

Market analysts believe the transition to dollar pricing further integrates the refinery into the global petroleum market and reinforces the growing influence of international oil prices and exchange-rate stability on domestic fuel costs.

While marketers are expected to adjust to the new commercial framework, economists say exchange-rate management will now play an even more critical role in determining the affordability of fuel for Nigerian consumers.

The latest development underscores the increasing importance of macroeconomic stability, foreign exchange liquidity and crude oil supply arrangements in shaping the future of Nigeria’s deregulated petroleum market.

Dangote ends naira fuel sales, pegs petrol at $0.779 per litre in major pricing shift

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NNPC Petrol Discount: Motorists Must Download App to Save ₦66 Per Litre

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NNPC Petrol Discount: Motorists Must Download App to Save ₦66 Per Litre
NNPC Petrol Discount: Motorists Must Download App to Save ₦66 Per Litre

The Nigerian National Petroleum Company Limited (NNPC) has made access to its ₦66-per-litre petrol discount conditional on customers downloading its mobile application and paying digitally, meaning motorists who pay directly at the pump may have to pay the higher displayed price.

Checks at NNPC retail outlets in Abuja showed that petrol was selling for ₦1,405 per litre for customers paying directly at the pump, while motorists using the company’s mobile application paid ₦1,339 per litre, according to a report by Saturday PUNCH published on October 10, 2026.

The difference of ₦66 per litre means motorists must complete the required digital payment process to benefit from the discount. The price reduction is not automatically applied to customers paying directly at the pump.

A fuel attendant at the NNPC mega station along Obasanjo Way in Abuja reportedly confirmed that customers had to download the application and pay through it to qualify for the lower price. Similar arrangements were observed at other NNPC outlets in the Federal Capital Territory.

The payment condition has raised questions about access to the relief initiative, particularly for motorists who prefer cash transactions or do not have smartphones, reliable internet access or experience using mobile payment applications.

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NNPC introduced the petrol discount on October 1, 2026, as part of activities marking Nigeria’s 66th Independence Anniversary. The company subsequently announced that the offer would continue until October 31, 2026, at its retail stations nationwide.

The company said the initiative was intended to provide temporary relief to households and businesses facing rising fuel costs amid increases in global crude oil prices linked to tensions and conflict in the Middle East.

The Federal Government also announced a 30-day relief measure under which NNPC Retail would forgo its retail profit margin and sell petrol at cost. Finance Minister and Coordinating Minister of the Economy, Taiwo Oyedele, said the intervention was designed to cushion the impact of rising fuel prices on Nigerians, particularly vulnerable households and commercial transport operators.

NNPC has maintained that the discount is a temporary relief measure and does not represent a return to the petrol subsidy regime.

However, requiring motorists to use a mobile application to access the price reduction means that customers’ ability to benefit depends on their access to and use of the approved digital payment channel.

For commercial drivers and other frequent petrol buyers, the difference could add up over time. A motorist purchasing 20 litres, for example, would save ₦1,320 at the discounted rate compared with the higher price reported at the Abuja outlets.

The discount also carries a financial cost for NNPC. According to Saturday PUNCH, the company could forgo an estimated ₦4.62 billion in gross revenue if its average monthly petrol sales qualified for the reduction.

The observed prices in Abuja do not necessarily represent the pump price at every NNPC station nationwide, as retail prices may vary by location and prevailing supply conditions.

Motorists intending to benefit from the offer before its scheduled end on October 31 should confirm the payment requirements at participating NNPC stations and ensure they are using the company’s approved application.

The initiative comes as Nigerians continue to face pressure from petrol prices and the resulting effects on transport fares, food distribution, household expenses and business operating costs.

 

NNPC Petrol Discount: Motorists Must Download App to Save ₦66 Per Litre

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Fitch Gives Tinubu Fresh Economic Boost as Nigeria’s Outlook Turns Positive

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Fitch Gives Tinubu Fresh Economic Boost as Nigeria’s Outlook Turns Positive
Fitch Gives Tinubu Fresh Economic Boost as Nigeria’s Outlook Turns Positive

Fitch Ratings has revised Nigeria’s economic outlook from stable to positive, citing improvements in foreign exchange reserves, monetary policy, exchange rate reforms and moderating inflation under President Bola Ahmed Tinubu.

The international credit rating agency announced the decision on Friday, October 9, 2026, while affirming Nigeria’s long-term issuer default ratings at ‘B’. The revised outlook signals the possibility of a future credit rating upgrade if the country sustains its economic reforms and strengthens its financial position.

The Federal Government disclosed the development on Saturday through the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, who described the assessment as an endorsement of the administration’s economic reform programme.

Fitch’s decision reflects growing confidence in Nigeria’s macroeconomic policy framework and external financial position. The agency also expressed confidence that the government would maintain its reform momentum despite the approach of the 2027 general elections.

One of the key factors behind the positive outlook is the significant improvement in Nigeria’s foreign exchange reserves, which reportedly reached $54.9 billion as of September 25, 2026, compared with approximately $32 billion in mid-April 2024.

Fitch attributed the increase to stronger activity in the formal foreign exchange market, portfolio investment inflows, higher export receipts and remittances from Nigerians living abroad.

The agency projected that Nigeria’s current account surplus would reach 6.4 per cent of gross domestic product (GDP) in 2026. It also expects foreign exchange reserves to cover approximately 6.3 months of current external payments by the end of the year, providing a stronger buffer against external economic shocks.

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Nigeria’s economic growth prospects also informed the revised outlook. Fitch forecast that the country’s real GDP would expand by 4.3 per cent in 2026, up from 4.0 per cent in 2025, with growth expected to remain above four per cent in 2027 and 2028.

The agency expects non-oil activities to remain a major driver of economic expansion, reflecting the importance of sectors beyond crude oil to Nigeria’s long-term economic prospects.

On inflation, Fitch projected average annual inflation of 15.4 per cent in 2026, significantly below the levels recorded in 2024. It attributed the expected moderation partly to greater stability in the naira and the effects of restrictive monetary policy.

However, the agency cautioned that inflation would remain high compared with countries with similar credit ratings, meaning that the cost of living and pressure on household budgets would continue to pose challenges.

Developments in the oil sector also contributed to the improved assessment. Fitch reported that crude oil production, excluding condensates, increased by 10 per cent quarter-on-quarter in the second quarter of 2026, while output reportedly met Nigeria’s OPEC target of 1.5 million barrels per day from May.

The expansion of domestic refining capacity, particularly the ramp-up of the Dangote refinery and the rehabilitation of other facilities, has also helped reduce reliance on imported refined petroleum products and associated foreign exchange demand.

The Federal Government attributed the improved outlook to major policy decisions introduced under Tinubu, including the removal of the petrol subsidy, foreign exchange market reforms and changes to the tax system.

Oyedele said the administration would continue implementing the reforms to reduce Nigeria’s cost of borrowing, attract private investment and encourage job creation.

The government also pledged to sustain a transparent, market-reflective foreign exchange regime, improve tax administration, strengthen debt management and increase non-oil revenue.

Despite the positive assessment, Fitch identified several risks that could limit Nigeria’s economic progress. These include weak governance indicators, dependence on hydrocarbons, persistent inflation, security challenges and low government revenue relative to the size of the economy.

The agency also projected that Nigeria’s general government fiscal deficit would widen to 3.6 per cent of GDP in 2026 amid spending pressures. Although tax reforms could improve revenue collection, implementation challenges may limit the gains.

Fitch forecast that general government debt would average 32 per cent of GDP between 2026 and 2028, below the 56 per cent median for countries in the ‘B’ rating category.

The positive outlook does not amount to an immediate upgrade of Nigeria’s credit rating. Rather, it indicates that Fitch could raise the rating in the future if economic reforms continue, macroeconomic stability improves and fiscal pressures ease.

The latest assessment follows other positive developments in Nigeria’s credit standing in 2026. S&P Global Ratings upgraded Nigeria’s rating from ‘B-’ to ‘B’ in May, while Moody’s Ratings revised its outlook on the country to positive in August, according to the Federal Government.

For the Tinubu administration, the latest Fitch decision provides an important boost to its economic reform agenda. However, the ultimate test will be whether improvements in economic indicators translate into tangible benefits for Nigerians through lower inflation, stronger purchasing power, increased employment and sustainable business growth.

 

Fitch Gives Tinubu Fresh Economic Boost as Nigeria’s Outlook Turns Positive

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Electric Mobility: Spiro Unveils Expansion Plan, Names Nigeria New MD

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Electric Mobility: Spiro Unveils Expansion Plan, Names Nigeria New MD

Spiro, Africa’s leading electric mobility company, is stepping up plans to expand its footprint in Nigeria, strengthen its battery-swapping infrastructure and deepen partnerships to make electric motorcycles more accessible and affordable to riders.

The company unveiled the growth strategy at the second edition of its Media Connect event in Lagos, where it formally introduced its new Country Head and Managing Director, Mr Prasad Sane, who will lead its operations and expansion drive in the country.

Sane said Spiro would consolidate its presence in Lagos, Ogun and Oyo states while exploring opportunities to extend its operations to additional markets, as it seeks to accelerate Nigeria’s transition to cleaner and more sustainable transportation.

The event brought together journalists covering business, technology, mobility and sustainability to discuss the company’s progress, infrastructure development and long-term ambitions for Nigeria’s electric mobility market.

Addressing the gathering, Sane said the company was moving beyond the deployment of electric motorcycles to building an integrated mobility ecosystem designed to improve riders’ earnings, reduce operating costs and create economic opportunities.

“Today is about progress, partnership and purpose. A year ago, we shared our vision for electric mobility in Nigeria. Today, we are demonstrating tangible results and a clear path forward,” he said.

He added that his mandate was to make Spiro one of the most trusted, affordable and accessible electric mobility solutions for Nigerians, beginning with its existing focus markets.

“My mandate is simple: to make Spiro the most trusted, affordable and accessible electric mobility solution for Nigerians, beginning with Lagos, Ogun and Oyo states.

“We are moving beyond electric bikes to build a complete ecosystem centred on our promise of ‘Energy on the Move’,” Sane stated.

A major pillar of the company’s strategy is its battery-swapping technology, which allows riders to exchange depleted batteries for fully charged ones in under a minute, reducing downtime and eliminating the need to wait for conventional recharging.

According to Sane, the model offers riders an alternative to rising fuel and maintenance costs while supporting efforts to reduce carbon emissions and improve the economics of commercial motorcycle operations.

“Electric mobility is no longer the future. It is the present, and Nigeria is poised to lead the transition,” he said.

Under its expansion plan, Spiro intends to accelerate the deployment of battery-swapping stations and service centres across Lagos, Ogun and Oyo states to improve accessibility, operational efficiency and customer support.

The company also plans to extend its geographical reach beyond the three states, bringing its electric motorcycles and related services to more Nigerian markets.

Another priority is strengthening partnerships with financial institutions, logistics companies and rider communities to improve access to electric motorcycles and its Battery-as-a-Service solutions.

The approach is expected to support wider adoption by riders who may face financial barriers to acquiring electric motorcycles outright, while helping businesses explore cleaner and potentially more cost-effective transportation options.

Spiro also plans to scale up local assembly operations, technical training and after-sales support, with a focus on creating employment opportunities, particularly for young Nigerians and women.

The company said the measures would help strengthen its operational capacity while developing local skills and supporting the growth of Nigeria’s electric mobility ecosystem.

The Media Connect event featured live product demonstrations and operational showcases, alongside the unveiling of the Spiro Ekon M1 Version 3, highlighting the company’s efforts to develop its electric motorcycle offerings for the Nigerian market.

Spiro, which received the West Africa Sustainable Award (WASA), is positioning its expansion around electric motorcycles and battery-swapping infrastructure as it seeks to contribute to the growth of sustainable mobility across Nigeria.

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