Only ₦87.4bn spent on petrol imports in Q1 2026, signaling a major shift in Nigeria’s energy landscape and growing dominance of domestic refining…..
Nigeria’s dependence on imported petrol appears to be fading rapidly, with new data showing that spending on fuel imports plunged by more than 96 per cent in the first quarter of 2026 as local refining capacity continues to reshape the country’s petroleum sector.
Fresh figures released by the National Bureau of Statistics (NBS) reveal that Nigeria spent just ₦87.4 billion on the importation of Premium Motor Spirit (PMS), commonly known as petrol, between January and March 2026.
The figure marks a dramatic decline from the ₦2.27 trillion spent during the same period in 2025, representing a reduction of over ₦2.18 trillion within one year.
The sharp fall is one of the clearest signs yet that Nigeria’s long-standing reliance on imported fuel is undergoing a historic transformation.
For decades, petrol consistently ranked among the country’s most imported commodities, consuming billions of dollars in foreign exchange annually despite Nigeria’s status as Africa’s largest crude oil producer. However, in a development that would have been difficult to imagine just a few years ago, petrol was completely absent from the list of Nigeria’s top imported products in the first quarter of 2026.
An analysis of the latest trade data showed that products such as crude petroleum oils, gas oil, wheat, telecommunications equipment, used vehicles, motorcycles, pharmaceutical products, aircraft parts and agricultural machinery dominated Nigeria’s import profile during the period.
The NBS report also highlighted a broader decline in import activity, with total imports falling to ₦13.62 trillion in the first quarter of 2026 from ₦16.64 trillion recorded during the corresponding period of 2025.
Imports of other petroleum-related products also recorded a significant drop, underscoring the changing structure of Nigeria’s energy trade.
Industry analysts attribute the decline primarily to growing domestic refining capacity, particularly the increasing contribution of local refineries to national fuel supply.
The most significant driver of this shift has been the expansion of domestic petrol production following the commencement of operations at the Dangote Petroleum Refinery.
The refinery, which began supplying petrol to the Nigerian market in 2024, has steadily increased output and emerged as the dominant source of fuel supply across the country.
Regulatory data indicate that locally refined petrol now accounts for the overwhelming majority of fuel consumed in Nigeria.
In January, domestic supply from the refinery averaged more than 40 million litres daily, accounting for nearly two-thirds of national petrol consumption. By February, imports had fallen sharply, with locally refined fuel providing more than 90 per cent of the country’s petrol requirements.
The trend continued into March and April, further reducing Nigeria’s dependence on foreign suppliers and significantly cutting the amount spent on fuel imports.
Historical data illustrate the scale of the transformation.
Nigeria spent approximately ₦2.69 trillion on petrol imports during the first quarter of 2022. The figure fluctuated over subsequent years, reaching ₦3.81 trillion in the first quarter of 2024 before declining to ₦2.27 trillion in 2025.
The latest figure of ₦87.4 billion represents the lowest quarterly petrol import bill in years and suggests that local refining is beginning to fundamentally alter the economics of fuel supply in Africa’s largest economy.
Beyond reducing import costs, the development could have wider implications for Nigeria’s economy.
Lower fuel imports mean reduced pressure on foreign exchange reserves, improved trade balances, and greater retention of economic value within the country. Analysts say sustained growth in domestic refining could also strengthen the naira, create jobs, and reduce exposure to international supply disruptions.
While challenges remain in ensuring consistent supply and competitive pricing, the first-quarter figures provide strong evidence that Nigeria’s downstream petroleum sector is entering a new era.
With local refineries increasingly meeting domestic demand, petrol imports are no longer the dominant feature of Nigeria’s trade profile, marking a significant milestone in the country’s quest for energy self-sufficiency.
