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Institution says recommendation for continued petrol imports may conflict with global energy security realities amid shifting market conditions…..
The World Bank has taken down its Nigeria Development Update report from its website after it initially recommended that Nigeria continue importing Premium Motor Spirit (PMS) to stabilise fuel supply.
The April 2026 report had suggested that Nigeria maintain fuel imports while gradually transitioning toward a fully competitive downstream petroleum market. However, the document was no longer accessible on the bank’s website as of the time of reporting.
In a follow-up clarification, the institution said its earlier position needed to be viewed in light of rapidly changing global energy conditions, which are being shaped by ongoing supply disruptions and geopolitical tensions.
World Bank explained that in the current environment, some policy recommendations may conflict with broader efforts by countries to safeguard energy security.
“Given current global energy supply disruptions, such a recommendation may run counter to efforts that countries around the world are undertaking to ensure their energy and national security,” the bank said.
It added that while Nigeria’s long-term direction should be toward a more competitive and efficient fuel retail market, such a transition must be carefully sequenced to avoid destabilising prices and supply.
The bank also stressed the importance of targeted social protection measures to shield vulnerable households from the impact of ongoing reforms, noting that it remains ready to support Nigeria in strengthening its safety net systems.
The development comes at a sensitive time for Nigeria’s downstream petroleum sector, which has undergone major reforms in recent years following the removal of fuel subsidies. The policy shift has exposed domestic fuel prices to global market volatility, increasing the importance of imports in meeting local demand.
At the same time, efforts to expand domestic refining capacity are ongoing, though supply gaps persist. Rising geopolitical tensions and disruptions in global oil trade routes have further complicated energy planning and pricing stability.
The World Bank reiterated that while reform of the petroleum sector remains essential, it must be implemented gradually and supported by strong regulatory oversight and quality control mechanisms to prevent unintended consequences for consumers.
It also acknowledged ongoing efforts by the Nigerian government and private sector players to maintain fuel supply and cushion the impact on households and businesses.
The episode highlights the growing sensitivity around energy policy advice at a time when global oil markets remain volatile and domestic reforms continue to reshape Nigeria’s fuel landscape.
