The Nigerian government stated that by lowering transaction costs and foreign exchange risks, the commencement of the sale of crude oil in Naira was a calculated step to improve the operating efficiency of local refineries.
This was stated by President Bola Tinubu on Tuesday when he officially opened the ninth Nigeria International Energy Summit in Abuja.
“Bridging Continents: Connecting Investors Worldwide with Africa’s Energy Potential” is the theme of the 2025 summit.
Speaking on behalf of Tinubu, Minister of State for Finance, Dr Doris Uzoka-Anite, noted that the action had also strengthened and stabilised the home market.
“We started selling crude oil in Naira to make sure the local refineries are very competitive, which would cut the retail price of petroleum products for our people.
“This initiative is anticipated to result in more affordable petroleum products for our citizens, ultimately improving their standard of living and stimulating economic growth.
“By denominating crude sales in Naira, we are bolstering the local currency and building a more robust economy. Additionally, this will lessen the impact of the elimination of fuel subsidies,” the president stated.
He proceeded by saying that the nation was still experiencing a renaissance in the oil and gas industry in 2025, marked by groundbreaking projects and important turning points.
He said that for nearly two years, his administration had stayed committed to promoting reforms and significant achievements in Nigeria’s energy industry and overall economy.
President Tinubu claimed that these changes, which included the elimination of the fuel subsidy and the liberalisation of foreign exchange, two of the administration’s primary initiatives in the first year, had opened up the economy and made it a desirable place for investment.
Nigeria’s choice to host the African Energy Bank’s headquarters was a historic milestone in the industry, he noted, highlighting several significant accomplishments that established the nation as a global energy powerhouse.
According to him, the accomplishment demonstrated Nigeria’s leadership in the continent’s energy sector and its dedication to promoting sustainable development.
“We have established Nigeria as the centre for energy financing by acquiring this esteemed organisation, which will encourage investment, innovation, and the creation of jobs.
“This accomplishment demonstrates our commitment to energy security, economic expansion, and regional collaboration, guaranteeing a more promising future for all Nigerians and Africans.
“Additionally, we have issued extensive executive directives that have resulted in a resurgence of investment in our oil and gas industry. Because of strategic investments in development, security, and investment incentives, we have seen a rise in crude oil production in the upstream sector,” the president stated.
According to him, the Presidential Executive Order on Oil and Gas Sector Reforms’ implementation expedited licensing cycles, simplified procedures, and promoted indigenous involvement, all of which promoted the creation of local content.
“We are open to receiving more of these exciting announcements,” he continued, “and we have seen an increase in investment announcements and innovative ways to support the oil and gas sector.”
Tinubu stated that it will increase the ability to provide clean energy to homes and businesses while reaffirming his commitment to the completion and operationalisation of important gas infrastructures, such as the Ajaokuta Kaduna Kano Gas Pipeline Project.
He said that by eliminating reliance on a single fuel source, the Presidential Compressed Natural Gas Initiative was likewise revolutionising the transportation industry.
