Monday June 23, 2025
Nigerians are facing another round of hardship at the pump, with the price of petrol rising close to ₦1,000 per litre across the country, FirstNEWS reports.
The spike, observed at filling stations nationwide, follows a sharp increase in global crude oil prices triggered by renewed conflict between Israel and Iran.
Marketers have warned of further hikes unless the hostilities de-escalate soon. The conflict has already caused significant damage to vital oil infrastructure, pushing prices upward on the international market.
Brent crude rose by 11.71 percent from $66.45 to $74.23 shortly after the conflict began, peaking at $78.50, its highest since late January.
U.S. West Texas Intermediate (WTI) crude also spiked, gaining 13 percent over the previous week to hit $77.62 per barrel.
The oil market remains tense, as fears mount over a broader Middle East war. Over the weekend, U.S. President Donald Trump reportedly authorised strikes on three nuclear sites in Iran, prompting threats of retaliation from Tehran.
Iran, which accounts for over 24 percent of the Middle East’s oil and 10 percent of global supply, plays a major role in global oil flows.
Analysts say a closure of the Strait of Hormuz, through which a fifth of the world’s oil moves, could send prices soaring even further.
JP Morgan, in a recent note, projected oil prices could surge as high as $130 per barrel in a worst-case scenario involving military escalation and supply disruption. However, the bank’s baseline still assumes that diplomacy may prevail.
While Nigeria stands to gain more foreign exchange from the higher crude oil prices, the local downside is rising fuel costs. With the deregulation of the petrol market, the global surge is directly impacting the pump price.
Dr Muda Yusuf, Chief Executive Officer of the Centre for the Promotion of Private Enterprise (CPPE), said the impact will be felt across all sectors.
“Economies around the world, Nigeria inclusive, would witness a surge in the price of petrol, diesel, jet fuel, gas and related products in the near term.
“This would have far-reaching implications for many economies and businesses,” Yusuf said.
He added, “This would even be more impactful if output performance improves. Crude oil price has surged to $75 per barrel, which is about 15% higher than before the outbreak of the Israeli–Iran conflict.
“This development would also positively impact the country’s foreign reserves, ensure better forex liquidity and ultimately the stability of the naira exchange rate.”
For now, however, Nigerians are grappling with the immediate reality of higher fuel prices, once again.
Iran-Israel Conflict: Petrol Nears ₦1,000/L as Global Oil Prices Surge
