Iran Conflict Drives Inflation and Oil Prices in Nigeria

The article discusses the inflationary trends resulting from the ongoing conflict involving Iran, the U.S., and Israel. It highlights that the U.S.

Central Command has underestimated the resilience of the Iranian armed forces, which has led to a prolonged conflict. As a result, crude oil prices have surged, impacting global economies, including Nigeria.

By October 2025, Nigeria's sweet light crude oil price rose to approximately $65 per barrel, with predictions of it reaching $120 per barrel. This increase has led to a rise in pump prices for petroleum products in Nigeria, with petrol prices reaching N1,360 per liter in some areas.

Consequently, food inflation is expected to rise back into double digits due to increased transportation costs. The Nigerian government is facing challenges in managing these inflationary pressures, with fears that the conflict will not resolve soon, further complicating the economic landscape.