Nigeria Spent ₦5.3 Trillion on Fuel Imports in 9 Months — Despite Self-Sufficiency Promises

Nigeria spent a staggering ₦5.3 trillion on the importation of refined petrol (PMS) between January and September 2025, according to an analysis of official foreign trade statistics from the National Bureau of Statistics (NBS).
The figure highlights the country’s continued dependence on imported fuel—despite repeated government assurances that local refining would end the need for fuel imports.

While the petrol import bill remains huge, data also shows that overall import spending has declined sharply compared to 2024 due to increased local refining capacity.

Breakdown of Nigeria’s 2025 Fuel Import Bill

A review of NBS data shows the following quarterly breakdown of petrol import costs:

Despite the enormous figures, this represents a more than 50% reduction compared to the same period in 2024, when fuel imports cost Nigeria over ₦11.5 trillion.

The decrease is partly linked to the rising output from new private refineries, especially the Dangote Refinery, which began supplying the domestic market more consistently through 2025.

A Growing Economic Concern

The ₦5.3 trillion spent on petrol imports in just nine months continues to put pressure on Nigeria’s already strained foreign exchange reserves.
This persistent demand for forex contributes to the weakening of the naira and inflationary pressures across the economy.

This situation also contradicts the Tinubu administration’s earlier pledge that Nigeria would end all petrol imports by February 2024, following promises of improved local refining capacity.

With imports still ongoing and at such a significant cost, it is clear that Nigeria has not yet reached the level of self-sufficiency envisioned by policymakers.

The Refinery Puzzle: Massive Debts, Little Production

Another key concern is the financial state of Nigeria’s government-owned refineries.
Despite years of funding and repeated rehabilitation efforts, the Port Harcourt, Warri, and Kaduna refineries remain largely non-operational.

Reports indicate significant debt burdens attached to these facilities:

• Port Harcourt Refinery Company Limited – ₦4.2 trillion debt

• Kaduna Refinery and Petrochemical Company Limited – ₦2.3 trillion debt

• Warri Refinery and Petrochemical Company Limited – ₦2.055 trillion debt

These refineries have not contributed meaningfully to local fuel production in years, raising questions about their sustainability and the efficiency of government investments.

A Dual Challenge for Nigeria’s Energy Sector

Nigeria is now dealing with two major issues at the same time:

1. High Petrol Import Costs

Even with a declining trend, ₦5.3 trillion in nine months is still an enormous financial burden.

2. Massive Debts from Non-Functional Refineries

Billions spent on refineries that are not producing fuel adds to Nigeria’s long-term economic strain.

Together, these problems reveal the urgent need for policy reforms, transparency in refinery rehabilitation contracts, private-sector participation, and long-term investment planning.

The Road Ahead

The drop in petrol import costs in 2025 is a positive sign that local refining capacity is slowly increasing, especially from private refineries.
However, Nigeria’s journey toward full energy independence is far from complete.

To truly end petrol imports, the country must:

• Ensure consistent operation of both public and private refineries

• Improve transparency around refinery debts and funding

• Strengthen downstream regulatory frameworks

• Address foreign exchange challenges affecting fuel pricing

Until these challenges are resolved, fuel imports—and their heavy financial implications—will remain a critical economic issue.

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