Tinubu's Second Term Could Send Petrol Prices Soaring to ₦5,000 per Litre

Prince Adewole Adebayo, the Social Democratic Party's (SDP) presidential candidate, has warned that petrol prices could skyrocket to ₦5,000 per litre if President Bola Tinubu secures a second term in office. According to Adebayo, this dire prediction is based on the direction of the federal government's economic policies, particularly the deregulation of the downstream petroleum sector and the continued floating of the naira.

Adebayo attributed the potential price hike to the continued depreciation of the naira, which he argued would remain a major factor affecting the cost of imported petroleum products priced in dollars. He pointed out that 'petrol in Nigeria is imported and priced in United States Dollars ($). As long as the Central Bank allows the Naira to float without strong local production backing it, the currency will continue to weaken.'

The SDP candidate also criticized the federal government's decision to remove petrol subsidy, arguing that this policy had exposed consumers to fluctuations in international crude oil prices. He warned that if global crude prices spike due to geopolitical tensions, Nigerian consumers would bear 100% of the burden at the pump, triggering a compounded inflation spiral.

Adebayo linked higher petrol prices to rising transportation and food costs, saying increased fuel prices would continue to put pressure on household incomes. He also cited high interest rates and infrastructure challenges as factors that could increase the cost of petroleum imports, which would further drive up petrol prices.