Nigeria is expected to experience a partial return of fuel subsidy due to the non-cost-reflective nature of the current petrol prices in the country, according to Alex Sienaert, the lead economist for Nigeria at the World Bank.
During the presentation of the Nigeria Development Update report in Abuja, titled “Turning The Corner (From Reforms and Renewed Hope to Results),” Sienaert highlighted that petrol prices in Nigeria, currently at N650 per litre, are not fully adjusting to market conditions.
He suggested that, based on the official exchange rate, the product should sell for around N750 per litre. Sienaert recommended that the Nigerian government take additional steps to safeguard the benefits of its bold reforms.
