Free article preview

Roll out the barrel

Raising domestic oil prices is essential but seems impossible

The government's latest bid to liberalise (and inevitably raise) fuel prices has united traders, trades unionists and state governors against President Olusegun Obasanjo's new economic team. The team needs political determination and negotiating skills that it has so far not shown. Leading the reform is new Finance Minister Ngozi Okonjo-Iweala, who is determined to end what the International Monetary Fund and World Bank regard as market-distorting state subsidies on fuel. Nigeria is the world's sixth biggest crude oil producer and the only big producer which imports much of its refined fuel and other petroleum products (AC Vol 44 No 20). Hundreds of thousands of tonnes of refined products are bought from Europe and the Middle East, mainly because the government sets the prices of Nigeria's own refined products so low that traders profitably, if illegally, export them to neighbouring countries where prices are higher. This costs the Treasury millions of dollars in lost revenue....

(This article contains approximately 1078 words)

end of free article preview

Current subscribers: log in now to read the complete article. Misplaced your password? Then click here for a password reminder.

Not a subscriber? Then you can read this article in full either by becoming a subscriber now, for 3, 6 or 12 months, or you can buy this individual article.

Subscribe to Africa Confidential:
Buy this article:

3-month subscription
Prices from £205.00 (+ VAT where applicable)

6-month subscription
Prices from £376.00 (+ VAT where applicable)

12-month subscription
Prices from £705.00 (+ VAT where applicable)
UK & European Union
£17.00 (+ VAT where applicable)

Rest of the world
$27.00

If you have a print subscription already, click here for a password that gives you full access to the website.
If you are logged in, but still cannot access the full text of this article, email customer services or telephone us on +44(0)1638 743633.

Africa Confidential's reporting and analysis is valued by a wide range of organisations and individuals: from corporate executives, country risk analysts, national politicians and members of the diplomatic corps, to intelligence operatives, academics, journalists and NGO personnel.

Here's what our readers say about us:

"We regard Africa Confidential as one of our best and most reliable sources of information and analysis."

Intelligence Assessment Service, Privy Council Office, Government of Canada

"You are the best reporter on Africa alive. I look forward to your Intel."

Robert Stewart, CEO, Hawk Uranium Inc., USA

"If you want the detail and you want the dirt, the little blue newsletter [Africa Confidential] that drops through your letter box is like having your own private spook who knows Africa inside out and who's also one hell of a gossip."

Jonathan Miller, Foreign Affairs Correspondent, Channel 4 News, London, UK

"Since the demise of reporting on Africa in Western newspapers, and especially in the UK, in recent years, Africa Confidential has become ever more indispensable to anyone trying to make sense of the continent.

It provides the context one needs to understand vast changes Sudan has undergone since the signing of the peace agreement in 2005 and the explosion of conflict in Darfur.

The scope of its coverage of everything from the latest mining deals and rebel uprisings in the Democratic Republic of Congo to the political crisis in Kenya since the 2007 election is simply unparalleled."

Karl Maier, Africa & Middle East Editor, Bloomberg News

Free article preview

Roll out the barrel

Raising domestic oil prices is essential but seems impossible

end of free article preview

articles by country