In a recent turn of events, Aliko Dangote, President of Dangote Industries Limited, has lauded the positive effects of President Bola Tinubu’s naira-for-crude swap deal, which he believes has significantly improved the Nigerian economy and contributed to a decrease in fuel prices nationwide.
In an official announcement shared across the company’s social media channels on Saturday, Dangote's refinery revealed a new collaboration with MRS Oil Nigeria to offer petrol at a reduced rate of N935 per litre at retail outlets across the country. This initiative, which aims to pass the price benefits to consumers, is a part of a broader strategy to enhance affordability and accessibility of petroleum products.
The new pricing is part of Dangote Refinery's ongoing efforts to reduce the cost of Premium Motor Spirit (PMS). Just days prior, the refinery had slashed its selling price by N71, from N970 to N899.50 per litre for marketers, also offering them credit facilities to make the process easier and more accessible. This price cut has sparked a competitive response within the oil sector, with the Nigerian National Petroleum Corporation (NNPC) Retail also announcing a similar reduction to N899 per litre.
Dangote expressed his appreciation to President Tinubu for the success of the naira-for-crude deal, which he said has brought substantial benefits to Nigeria, especially in terms of reducing dependence on the dollar for oil transactions. This shift has alleviated pressure on Nigeria's foreign exchange reserves, helping stabilize the naira and benefiting the broader economy.
The new retail price, which started in Lagos, will be extended to all regions beginning Monday. Dangote emphasized that the primary goal of the Dangote Refinery was to make high-quality petrol available at affordable prices for Nigerians across the country. He further urged other oil marketers, including NNPC and independent retailers, to join in this effort to lower prices and improve product quality.
“The Dangote Refinery was built with the interest of Nigerians at heart. We are committed to providing high-quality, affordable fuel for all,” Dangote stated. “We will continue to work with various partners to ensure Nigerians have access to petrol that is not only good for their vehicles but also beneficial for their health and finances.”
This latest move is part of the refinery’s broader objective to increase the availability of local refined products, reducing reliance on imported fuel. With the ongoing reforms in the domestic oil sector, especially the naira-for-crude deal initiated in October, the federal government has taken decisive steps to stimulate local production and reduce the cost of fuel.
In September, the Federal Executive Council, under President Tinubu’s leadership, approved the sale of crude oil to local refineries in naira, with payments and purchases also made in the local currency. This policy, which came into effect on October 1, has been instrumental in reducing the pressure on Nigeria's foreign currency reserves and contributing to the stability of the naira.
Dangote also expressed his gratitude to Nigerians for their continued support and to the government for fostering an environment that encourages investment in domestic refining capacity.
