Economist Critiques World Bank's Fuel Import Advice for Nigeria

In a recent interview regarding Nigeria's economic outlook, Professor Ken Ife criticized the World Bank's latest Nigeria Development Update report, which recommends that Nigeria deepen fuel importation and fully liberalize its downstream petroleum sector. Ife described this advice as ill-timed and inconsistent with Nigeria's own laws, particularly the Petroleum Industry Act (PIA), which prioritizes domestic crude supply and local refining capabilities.

He argued that Nigeria cannot simultaneously develop a vision for economic independence while reverting to fuel imports. Ife warned that increasing reliance on imports could expose Nigeria to global supply shocks, drain foreign exchange reserves, and undermine ongoing investments in domestic refining.

He emphasized that the recommendation lacks empirical support and questioned the rationale behind suggesting Nigeria depend on imports when major refining countries are restricting exports.