Ex-AfDB Adviser Calls Nigerian Petrol Price Claims Misleading

Banji Oyelaran-Oyeyinka, a former senior special adviser at the African Development Bank, stated that claims of cheap petrol in Nigeria are misleading. He described such comparisons as fallacious, noting that while nominal petrol prices in Nigeria may appear low, they do not translate to affordability for the average citizen.

Oyelaran-Oyeyinka emphasized that Nigeria's economy is currently facing significant challenges, including high inflation and low purchasing power, which make petrol a luxury for many. He pointed out that the price of petrol in Nigeria, approximately N1,300 per liter, must be understood in the context of the country's structural economic issues, including low wages and a reliance on agriculture.

He argued that direct comparisons of petrol prices across countries are misleading without considering labor productivity and income levels. Oyelaran-Oyeyinka concluded that Nigeria remains trapped in a low-income equilibrium, and until structural transformations occur, the perception of cheap petrol will persist as a fallacy.