ivolt:

First, Nigeria does not dash out any money.
It buys goods it needs at international price.

The government get its forex primarily from oil export.
If Dangote refinery sells in Naira, it means it will pay for the crude it buys
from the NNPC in Naira too.
So, the government will be getting less forex than it used to unless it strictly
sells to Dangote from increased crude production.
Of course, some forex will be saved in the process due to the extra value created
and also shipping costs assuming Dangote can produce at a competitive rate.

This only applies to local market, whatever Dangote export is a positive for the government.

Paraman:


https://www.google.com/amp/s/punchng.com/marketers-will-pay-naira-for-dangote-fuel-says-ipman/%3famp

Front0lane:
Crude sold to Dangote is additional sales to Nigeria. It was never part of what was sold previously, it is a new additional market that should lead to more sales.

Nigeria as more than enough crude to sell to Dangote n at the international market where it will earn forex in dollars.

Domestic sales purchase btw Dangote n NNPC is additional profit to the country n those in charge should ensure the increment is accounted for with substantial earning in the range of the $10 billion we spent importing the same substance else those at the helm have been doing round tripping to the tune of whatever is less of $10 billion.

That is another focus of fraud if Nigeria can account or save ₦10 bullion we spend buying finished product yearly previously before Dangote refinery.

Note Dangote will also be selling refined product to surrounding countries as it will be cheaper than importing from USA or Europe like they use to.

I'll like to ask I believe those who wants to buy oil from Nigeria after the local market has sufficient supply would also buy in Naira?. Because I have this belief that whenever anything good want to happen to our currency enemies of the nation from within and outside finds a way to boycott things.

Paraman:
Nigeria spent over $10 billion importing refined crude last year, If the Dangote refinery can take care of Nigeria needs, are you telling me will still be dashing out over $10 billion dollars to foreign refiners?

In 2022, we spent about $21 billion importing oil

Please explain, I want to learn.

Magnetic010:
For those that understand economics more, is this good or bad for our naira?

Paraman:
Nigeria spent over $10 billion importing refined crude last year, If the Dangote refinery can take care of Nigeria needs, are you telling me will still be dashing out over $10 billion dollars to foreign refiners?

In 2022, we spent about $21 billion importing oil

Please explain, I want to learn.

Paraman:
Nigeria spent over $10 billion importing refined crude last year, If the Dangote refinery can take care of Nigeria needs, are you telling me will still be dashing out over $10 billion dollars to foreign refiners?

In 2022, we spent about $21 billion importing oil

Please explain, I want to learn.

Magnetic010:
For those that understand economics more, is this good or bad for our naira?

Paraman:
Nigeria won't need to spend over $10 billion importing refined crude again. It will have a positive effect on the naira on the short, medium and long run

maziengr:
Since we sell him the crude in naira, he should also sell the fuel in naira to balance the equation. This is a simple arithmetic but what I know is that, if they can be sincere to themselves, naira will gain a tremendous strength because other nations will be sourcing for it to import fuel to their country. Nigeria will be fine. Kudos to Dangote!

SalamRushdie:
They were also paying Naira to the depot's before so what changed and besides Dangote is buying crude in dollars so nothing has changed a out our FX reality

Dynamicboss:


Good for naira. Recall that fuel importation requires forex (USD, Euro, etc.) to purchase

Atleast some pressure will be off the local currency

femarse:
Until the price is release , everyone should stop speculating,

I am desperately hoping for this to be an advantage but also scared as hell, for once, anything dangote has monopoly over always have an upward price curve, it has never been an advantage to the country whatsoever

secondly, the money for the refinery was burrowed in $$ and was agreed will be repaid in $$ meaning if dangote sell most of it's refined product in ## , how will he pay back the loan in $$?

Meaning he will have to use the naira to purchase the saved dollars govt got from not importing fuel anymore of which dangote will be giving priority since NNPC too has a share in the refinery which also translate to the exceess dollars that should take care of other needs will be mop up by dangote

people will still continue to pile pressure on the black market which makes the price to continue to fly higher

femarse:
Until the price is release , everyone should stop speculating,

I am desperately hoping for this to be an advantage but also scared as hell, for once, anything dangote has monopoly over always have an upward price curve, it has never been an advantage to the country whatsoever

secondly, the money for the refinery was burrowed in $$ and was agreed will be repaid in $$ meaning if dangote sell most of it's refined product in ## , how will he pay back the loan in $$?

Meaning he will have to use the naira to purchase the saved dollars govt got from not importing fuel anymore of which dangote will be giving priority since NNPC too has a share in the refinery which also translate to the exceess dollars that should take care of other needs will be mop up by dangote

people will still continue to pile pressure on the black market which makes the price to continue to fly higher

ceejay80s:

One question....
My landlord increased my rent cos of all these rubbish....if fuel goes back to 200 per liter , will my rent come down?
If no...the the fuel price should remain that price

NOwazobia:
Should this even be news?


Shey na dollar we wan pay for wetin dem dey produce for Nigeria...


Then mama Ebuka should be charging dollar for her stock fish.

Nbote:


Atleast the little I know is that we won't now have to pay USD for that volume of Petroleum products we would have imported. Now ordinarily price of these products are supposed to be lesser now because duty and other importation costs won't be paid

hakeemhakeem:


Dangote is additional sales (new customer)it doesn't the previous USD payment from others sales once the pipeline are not vandalized and ND is peaceful meaning productions are in optimal

Indifferent12:

You do realize the refinery was built in a free trade zone, so nothing concern dangote n Nigeria

Nbote:


Atleast the little I know is that we won't now have to pay USD for that volume of Petroleum products we would have imported. Now ordinarily price of these products are supposed to be lesser now because duty and other importation costs won't be paid