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BREAKING! N1,000/litre: Petrol Landing Cost Hits New Record After Naira to Dollar Rate Crosses Over N1,500 

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The new landing cost of petrol is now estimated at N1,000 per litre as a result of worsening foreign exchange. This occurred after the naira crossed over N1,500 to the dollar on Monday in both the official and unofficial marketAnalysts said that the government only reduced subsidy but is yet to eliminate it to ease the affairs of Nigerians.

As Nigeria’s foreign exchange crisis worsened, the landing cost of imported petrol exceeded N1,000 per litre.

Analysts believe the government is still quietly subsidising petrol to ease the hardship already faced.

Findings by BusinessDay indicated that the landing cost of gasoline—which includes the product’s foreign pricing, transportation, insurance, and other charges—rose to N1,009/litre in October 2023 from N720/litre at the black-market rate of N1,500 per dollar.

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CBN moves to boost naira, sells $30 million in spot market for first time in 5 months

According to data from the FMDQ, the naira lost 4.19% of its value after trading on Monday, February 12.

One dollar was quoted at N1,534.39, compared to N1,469.97 on Friday at the Nigerian Autonomous Foreign Exchange Market.

Henzodaily.ng reported that the black market, or parallel market, saw a 1.33% depreciation of the naira as well. On Monday, the dollar’s value was N1,505, down from N1,485 on Friday.

Government still financing petrol subsidy

Analysts believe the government is still quietly subsidising petrol to ease the hardship already faced.

A senior executive in the downstream sector said:

“The rising landing cost of petrol results from the rising FX crisis. There are interventions in the market through subsidies as most Nigerians cannot afford the market price for petrol.”

Read also

No more N1,413/$: CBN increases official exchange rate for customs to clear goods

Bismarck Rewane, chief executive officer of the Financial Derivatives Company, said:

“The truth is that subsidy has been reduced. If the subsidy has been removed, then the price of PMS as you see it today will be much higher than what it is.”

According to Aisha Mohammed, an energy analyst at the Centre for Development Studies in Lagos, the government partially subsidises the commodity for social, political, and economic reasons.

She said:

“All of us who were saying that they should remove the subsidy, we can see that they have partially removed it now, but look at the consequences. Economically, it will sound good, but socially and politically, it is very costly.”

Additional research revealed that the N1,009 landing fee does not include other distribution costs, vessel charges, Nigerian Maritime Administration and Safety Agency charges, or charges from the Nigerian Ports Authority, as some are charged in dollars.

Cost of cooking gas increases again, hits new record as dollar sells for N1,500

A source said:

“We must resist the dollarisation of the Nigerian economy; there are some fee collections in dollars that are also pushing up the landing cost of petrol.”

Oil marketers speculate new petrol price
Henzodaily.ng reported that the National Public Relations Officer of the Independent Petroleum Marketers Association of Nigeria (IPMAN) has stated that the price of petrol might rise following the naira crash against the dollar.

IPMAN spokesman Ukadike Chinedu said it is likely that Nigerians may see a hike in the price of the commodity as inflation and scarcity of Forex persist.

The development comes as the Nigerian government revealed on Wednesday, January 31, 2024, that the Port Harcourt Refinery was still undergoing a test run and that products from the facility will soon hit the market.

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Black Market Dollar To Naira Exchange Rate Today 3rd April 2024

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What is the Dollar to Naira Exchange rate at the black market, also known as the parallel market (Aboki fx)?

See the black market Dollar to Naira exchange rate for 2nd April

The exchange rate for a dollar to naira at Lagos Parallel Market (Black Market) players buy a dollar for N1,280 and sell at N1,290 on Tuesday 2nd April 2024, according to sources at Bureau De Change (BDC).

How much is the Black market dollar to naira today, 3rd April 2024?.

Please note that the Central Bank of Nigeria (CBN) does not recognize the parallel market (black market), as it has directed individuals who want to engage in Forex to approach their respective banks.

Dollar to Naira Black Market Rate Today
Buying Rate N1,265
Selling Rate N1,275

You can swap your dollar for Naira at these rates

Please note edujobs.ng does not set or determine forex rates, the rates you buy or sell forex may be different from what is captured in this article because prices vary.

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BREAKING: FG Approves New Electricity Tarrif

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The Nigerian Electricity Regulatory Commission, NERC, has given the go-ahead to raise the electricity rates for customers in the Band A category.

During a press briefing in Abuja on Wednesday, the Vice Chairman of NERC, Musliu Oseni, announced that there will be a rise in electricity tariffs. This adjustment will result in customers paying N225 per kilowatt-hour, up from the current rate of N66.

“We currently have 800 feeders that are categorised as Band A, but it will now be reduced to under 500. This means that 17 percent now qualify as Band-A feeders. These feeders only service 15 percent of total electricity customers connected to the feeders.

“The commission has issued an order which is titled April supplementary order and the commission allows a 235 kilowatt per hour.”

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Oluwo to Nigerins: Convert Dollars In Your Possession To Naira

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The Oluwo of Iwo, Oba Abdulrosheed Adewale Akanbi, has appealed to Nigerians to convert the dollars in their possession to Naira.

The Osun monarch who challenged Nigerians to demonstrate patriotism, blamed the exchange rate crisis on Nigerians hoarding the foreign currency.

Akanbi who made this call in a statement by his spokesman, Alli Ibraheem on Saturday, also disclosed that the availability of dollar in the market will reduce the exchange rate and ultimately checkmate inflation hitting hard on Nigerians.

Stating that dollar hoarders are part of those frustrating the economy, he asked them to be wary of posterity noting that most rich Nigerians are culpable.

He also appealed to them to save Nigeria by disposing dollars in their possession.

The statement reads, “I am appealing to Nigerians most especially the wealthy individual hoarding dollars to demonstrate patriotism by selling and convert foreign currency in their possession to Naira.

“Dollar hoarders have created artificial scarcity, thus leading to high exchange rate and ultimately lead to inflation.

“Pumping the hoarded dollars in circulation will lubricate our economy and decimate the hardship on innocent masses.

“As I speak, I have emptied my dollar account. We can only get there if we are ready to sacrifice by jettisoning selfish economic policies capable of suffocating our survival.

“Nigerians are equally enjoined to patronise made in Nigeria products. I have taken that lead among the traditional rulers. I was the first Nigerian monarch to buy a made in Nigeria Innoson vehicle. My wears most especially the ‘Ofi’ are hundred percent made in Nigeria. With public enlightenment on patronage of Nigerian goods, we can have a more prospering and friendly economy.”

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