Petrol prices in Nigeria may come under renewed pressure following a sharp rise in global crude oil prices, which has driven up the cost of refined petroleum products across international markets.
The surge in prices is linked to escalating geopolitical tensions and major supply disruptions that have pushed the global oil market back into a period of heightened volatility.
Crude oil prices have climbed to their highest levels since 2022, triggering fresh increases in the prices of petrol, diesel and aviation fuel worldwide.
Industry analysts attribute the rally largely to growing tensions in the Middle East, alongside tightening supply conditions in key oil‑producing regions. These developments are already translating into higher prices for refined petroleum products across global markets.
In recent weeks, crude oil, the main input for petrol production, has remained on a steady upward trajectory, following the effective shutdown of the Strait of Hormuz, a critical shipping route through which nearly one‑fifth of global crude oil supplies ~normally pass~ is transported. The disruption has left several oil tankers stranded, further constraining supply and intensifying pressure on prices.
As a result, the average global price of petrol has risen to about $1.5 per litre, reflecting sustained pressure from elevated crude oil prices and ongoing geopolitical risks.
Despite operating a deregulated fuel pricing regime, Nigeria remains among the lowest‑priced petrol markets globally, with PMS selling at about $0.9 per litre. However, energy analysts caution that prolonged volatility in global crude oil prices could eventually push domestic pump prices higher.
They note that Nigeria’s current price advantage has been supported by improved local supply conditions, particularly increased output from the Dangote Petroleum Refinery, which has helped stabilise fuel supply and cushion the immediate impact of rising international oil prices.
Fuel prices remain particularly high in advanced economies. In Hong Kong, petrol sells for around $4.2 per litre, making it one of the most expensive markets globally. Other high‑priced markets include the Netherlands at $2.7 per litre, Switzerland at $2.4, France at $2.3, and the United Kingdom at approximately $2.1 per litre.
Across Africa, several countries are also battling elevated fuel prices due to heavy import dependence and currency pressures. Malawi currently records one of the world’s highest petrol prices at about $3.8 per litre, while Morocco sells at around $1.7 per litre. Prices in Seychelles, Kenya and Cameroon hover near $1.5 per litre, with Ghana, Lesotho and South Africa averaging roughly $1.4 per litre.