The World Bank has stated that petrol should be sold at N750 per liter instead of the N650 it is currently sold out to Nigerians.
These were the words of World Bank's Lead Economist for Nigeria Alex Sienaert, during the Nigeria Development Update, December edition on Wednesday, 13th December in Abuja.
He said the Federal government should continue paying for fuel subsidies and also fix the price of petrol according to the current exchange rate because the current price doesn't have any impact on the nation's economy.
He stated, "It does seem like petrol prices are not fully adjusting to market conditions so that hints at the partial return of the subsidy, if we estimate what is the cost reflective of retail PMS price of the would-be and assuming that importation is done at the official FX rate.
Of course, the liberalization is happening with the parallel rates, which is the main supplier, the price would be even higher. These are just estimates to give you a sense of what cost-reflective pricing most likely looks like.
We think the price of petrol should be around N750 per liter more than the N650 per liter currently paid by Nigerians."
These were the words of World Bank's Lead Economist for Nigeria Alex Sienaert, during the Nigeria Development Update, December edition on Wednesday, 13th December in Abuja.
He said the Federal government should continue paying for fuel subsidies and also fix the price of petrol according to the current exchange rate because the current price doesn't have any impact on the nation's economy.
He stated, "It does seem like petrol prices are not fully adjusting to market conditions so that hints at the partial return of the subsidy, if we estimate what is the cost reflective of retail PMS price of the would-be and assuming that importation is done at the official FX rate.
Of course, the liberalization is happening with the parallel rates, which is the main supplier, the price would be even higher. These are just estimates to give you a sense of what cost-reflective pricing most likely looks like.
We think the price of petrol should be around N750 per liter more than the N650 per liter currently paid by Nigerians."