Selling crude oil to refineries in naira: A double-edged sword

    Research and Insights | Sep 02, 2024    
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The recent directive by Nigeria’s President via a Federal Executive Council (FEC) resolution mandating the Nigerian National Petroleum Company (NNPC) to sell crude oil to local refineries, including the Dangote Refinery, in Naira rather than US dollars is a bold move with far-reaching implications for the Nigerian economy. While the government aims to alleviate foreign exchange pressures and stabilise fuel prices, the policy's effectiveness and potential drawbacks warrant careful consideration.

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