CBN pumps $1.25bn into fuel import, others
File Copy of CBN headquarters, Abuja
The Central Bank of Nigeria has released a total sum of $1.259bn to oil sector players for the importation of petroleum products and other related items into the country.
The amount released between the first three months of 2025 is against the backdrop of the insistence of marketers to continue fuel import despite the availability of petrol from Dangote Refinery.
According to fresh data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Petroleum marketers imported 69 per cent of the 21 billion litres of petrol Nigerians consumed between August 2024 and the first 10 days of October 2025.
Between January and March 2025, a total of 2.28 billion litres of petrol were imported despite improved refined product output from the Dangote refinery.
Fuel imports, a significant consumer of foreign exchange, impact the country’s foreign reserves and the naira-to-dollar rate.
The volume represents one of the lowest quarterly import figures in recent years, reflecting the gradual shift towards local refining and blending of petroleum products.
A breakdown using the Central Bank of Nigeria’s quarterly statistical bulletin for the first quarter of 2025, the apex bank released a total of $1.26bn for import transactions between January and March.
A month-by-month breakdown showed that $457.83m was disbursed in January, representing 36.2 per cent of the total.
This dropped sharply to $283.54m in February, accounting for 22.5 per cent, before rebounding to $517.55m in March, which made up the largest share at 41.3 per cent of the total forex released for the quarter.
While NMDPRA data showed that the January imports stood at 724.5million litres, while 760 million litres and 803.7 million litres were brought in during February and March, respectively.
The struggle for market share between the Dangote Petroleum Refinery and fuel-importing marketers has intensified in recent months, as both sides compete for dominance in Nigeria’s downstream sector.
It could be recalled that while some marketers have insisted on importation, the Dangote refinery has been exporting petrol to other countries, including the United States. The 650,000 refinery has consistently boasted of its capacity to meet local fuel demands while exporting to foreign countries.
However, pricing has remained the major determinant for marketers when choosing a supplier, amid growing competition between the Refinery and fuel importers. Many operators in the downstream sector shift allegiance based on cost advantage rather than source.
Confirming the development, the National Publicity Officer of the Independent Petroleum Marketers Association of Nigeria, Chinedu Ukadike, said marketers would naturally buy from any source offering the lowest price to stay in business.
Ukadike explained in an interview, “In this business, pricing is everything. Marketers will always go for the most affordable option because our margins are very thin. If imported products are cheaper, we have no choice but to patronise importers. But if Dangote’s refinery offers a better price, of course, we will buy locally.”
He added that the price gap between locally refined products and imports fluctuates depending on global oil prices, exchange rates, and government policies.
“No marketer can afford sentiment when it comes to survival,” he said. “Our decision is driven by economics, not emotion.”
Meanwhile, the latest Energy Bulletin released by the Major Energies Marketers Association of Nigeria has shown a further reduction in the estimated import parity price of key petroleum products, reflecting sustained pressure from global oil prices and exchange rate fluctuations.
According to the report, the estimated import parity price of Premium Motor Spirit has reduced to N805.46 per litre at the spot rate.
