FG in Nigeria to save $7.9bln annually from sale of crude oil to Dangote, others

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The Federal Government is hoping to save about $7.92 billion annually from the sale of crude oil to the nation’s local refineries in naira and thus reduce the pressure on foreign exchange.

This followed the approval on Monday by the Federal Executive Council (FEC) for trade among local refineries to be denominated in naira with immediate effect

The Chairman of the Federal Inland Revenue Service (FIRS), Zach Adedeji, disclosed this to correspondents after the meeting of the council presided over by President Bola Tinubu on Monday, saying that about $660 million is spent weekly on fuel importation, amounting to about $7.92 billion every year.

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He said that the denomination of transactions will stabilise the pump price and make economic predictability reliable.

According to him, it is an innovation geared to solve the country’s problem.

He also disclosed that AFRIBANK has been approved as a settlement bank between Nigeria National Petroleum Company Limited (NNPCL) and Dangote Refinery for this purpose.