Nigeria’s Crude and Refined Product Sales in Naira Initiative Confirmed as Permanent National Policy
Nigeria’s Crude and Refined Product Sales in Naira Initiative Confirmed as Permanent National Policy
The Federal Government has reaffirmed that the Crude and Refined Product Sales in Naira initiative is a permanent national policy aimed at supporting Nigeria’s economic interests. This announcement was made on Wednesday via the official X (formerly Twitter) account of the Federal Ministry of Finance, amid rising inquiries about the initiative’s status.
Originally approved by the Federal Executive Council, the policy facilitates transactions for crude oil and refined petroleum products in Naira, with the intent to enhance the country’s economic sovereignty, strengthen local refining capacity, and stabilize the foreign exchange market by minimizing dollar demand for domestic petroleum transactions.
The Ministry emphasized that this initiative is designed to promote energy security and attract investment in domestic refining infrastructure, stating that it is not a temporary measure but a critical strategy for sustainable local refining and reduced reliance on foreign exchange.
While recognizing the complexities involved in transitioning to this system, the government is actively addressing implementation challenges. A Technical Sub-Committee meeting was held recently to evaluate progress and resolve ongoing issues, gathering key stakeholders including government ministers, NNPC executives, and representatives from various regulatory bodies and the private sector.
The presence of influential figures at this meeting underlines the collaborative effort required to ensure the initiative’s success. By focusing on local content development and easing pressure on foreign reserves, this policy aligns with broader economic reforms intended to provide stability and predictability in the pricing of refined petroleum products within the domestic market. Overall, the initiative reflects Nigeria’s commitment to fostering currency resilience and enhancing its economic landscape.
