Fuel price may rise again as global oil rate up 20%

Fuel price may rise again as global oil rate up 20%

There are fears that fuel prices may go up again on the latest increase in crude price at the international market by 20 per cent.

A report on Monday morning by The PUNCH indicated the 20 per cent gain in the crude price as shown in the global market data.

It stated that the Brent crude, which traded at the beginning of 2023 around $78 per barrel, hit $83 last week.

Recall that petrol price started the year at less than $2.50 per gallon.

Last week, it went for $2.90 per gallon, and analysts said it could reach $3 in the new week.

In Nigeria, petrol price went from N186/litre to N488/litre after the removal of fuel subsidy by the Federal Government.

The price further went up to N617/litre recently.

The latest rise in international price of crude may lead to a fresh increase in the pump prices of petrol, diesel and other petroleum products being imported into the country.

A weak currency and inflation had caused a rise in the dollar against the naira to as much as N820/$1 recently, before dropping to N776/$1 as of Saturday.

Nigeria still imports its petrol despite being an oil producing country as it’s refineries are in poor shape.