Petrol Import Bill Drops By $4bn On Domestic Refining—CBN

Nigeria reduced its petrol import expenditure by $4.06 billion to $10 billion in 2025.
This marked a 28.88 per cent decrease from the $14.06 billion spent in 2024, data from the Central Bank of Nigeria’s (CBN) 2025 balance of payments report showed.

The CBN attributed this reduction primarily to the ramp-up in domestic refining capacity, particularly the start of petrol production at the Dangote Refinery.

Recall that the Dangote Refinery’s 650,000-barrel-per-day in Lagos officially began petrol output on September 3, 2025.

This development not only curbed reliance on imported fuel but also positioned the facility as an exporter, shipping $5.85 billion worth of refined petroleum products during the year.

Nigeria had long depended on imports to meet its fuel needs, with 2024’s high bill reflecting global oil price volatility and local supply gaps.

The refinery’s impact extended to the broader goods account, which posted a surplus of $14.51 billion in 2025—higher than the $13.17 billion in 2024 and well above the $6.42 billion current account surplus of 2023. Supporting this were gas exports, which increased 21.36 per cent from $8.66 billion to $10.51 billion, alongside the new refined product exports from Dangote.

Crude oil receipts, however, declined 14.41 per cent to $31.54 billion from $36.85 billion, due to lower global prices and production challenges.

Non-oil exports grew 24.80 per cent to $9.31 billion, providing a partial buffer.

The report also showed that Nigeria’s overall current account surplus contracted to $14.04 billion in 2025 from $19.03 billion the previous year. The CBN highlighted several contributors: reduced crude earnings, $3.74 billion in crude oil imports by the Dangote Refinery for its operations, non-oil imports expanding 13.6 per cent to $29.24 billion, and net primary income outflows surging 60.88 per cent from $5.65 billion to $9.09 billion.

The nation’s balance of payments closed 2025 with a $4.23 billion surplus, compared to $6.83 billion in 2024. External reserves strengthened to $45.75 billion by December 31, reflecting a 13.83 per cent gain from the prior year’s end. This positions Nigeria with improved liquidity amid ongoing economic reforms.