<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1080" height="720" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/04/CT25G4KUGNPL3PD2GVCENAU3QU.avif" alt="" class="wp-image-605696"/><figcaption class="wp-element-caption">A screen displays the logo of Spotify on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., December 4, 2023. REUTERS/Brendan McDermid/File Photo</figcaption></figure>



JOHANNESBURG, April 4 (Reuters)&nbsp;&#8211;&nbsp;Audio streaming giant Spotify&#8217;s&nbsp;SPOT.N&nbsp;royalty payments to artists from Nigeria and South Africa &#8211; its two biggest African markets &#8211; spiked to around $59 million last year as performers rode a wave of growing interest in music from the continent.



The Swedish company paid out some $10 billion in royalties worldwide in 2024. And while Africa represents only a small part of its offering, interest in African artists has ballooned, buoyed in part by internationally recognised acts like South African singer Tyla and Nigeria&#8217;s Burna Boy.



Around 250 million user-created playlists now feature at least one Nigerian artist, and 220 million contain a South African, the company said on&nbsp;Thursday.



&#8220;What we&#8217;re seeing is an excellent evolution around more and more mid-tier or up-and-coming artists making a living,&#8221; said Jocelyne Muhutu-Remy, Spotify&#8217;s managing director for Sub-Saharan Africa.



Nigerian artists received over 58 billion Nigerian naira ($38 million) in royalties last year, more than double the 2023 figure. Royalties for South African performers reached 400 million rand ($21 million), up 54% year-on-year.



Much of that came from outside their home markets. Nigerian artists have seen a 49% increase in export growth over the past three years, while South Africa saw export growth of 104%.



The number of Nigerian artists earning 10 million Naira, meanwhile, doubled year-on-year and has tripled since 2022.



In South Africa, the number of those earning between 100,000 and 500,000 rand has doubled over the past three years.



($1 = 1,532.3400 naira)



($1 = 19.0170 rand)



(Reporting by Siyanda Mthethwa; Editing by Joe Bavier)

CT25G4KUGNPL3PD2GVCENAU3QU

Spotify royalty payouts to Nigerian, South African artists boom in 2024

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="480" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/U2RS4FLSUJI3FK3RB6IWAMD7XI.avif" alt="" class="wp-image-590670"/><figcaption class="wp-element-caption">People shop at a fresh food market in Oyingbo, Lagos, Nigeria December 17, 2021. Picture taken December 17, 2021. REUTERS/Nneka Chile/File Photo</figcaption></figure>



ABUJA, Feb 25 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s economy grew&nbsp;3.84% in the fourth quarter&nbsp;NGGDPQ=ECI&nbsp;of&nbsp;2024, quicker than in the three previous quarters of&nbsp;the year, statistics agency data showed on&nbsp;Tuesday.



Gross domestic product growth was higher than the 3.46% reported in the third quarter, 3.19% in the second and 2.98% in the first quarter.



But the growth rate is still short of the 6% target set by President Bola Tinubu when he took office in mid-2023 in Africa&#8217;s most populous nation.



(Reporting by Elisha Bala-Gbogbo; Editing by Alexander Winning)

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Nigeria’s Q4 GDP growth quickens to 3.84% y/y

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="377" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/M34ZXN6UKBNUHJLS5HD7NFP7O4.avif" alt="" class="wp-image-590622"/><figcaption class="wp-element-caption">The logo of commodities trader Glencore is pictured in front of the company&#8217;s headquarters in Baar, Switzerland, July 18, 2017. REUTERS/Arnd Wiegmann/File Photo</figcaption></figure>



Feb 25 (Reuters)&nbsp;&#8211;&nbsp;Trading houses Vitol and Glencore will receive $380 million in compensation after their gas supplier, trading firm Taleveras, won a legal battle in a London court against Nigeria’s sole liquefied natural gas (LNG) producer for non-delivery of cargoes, court documents seen by Reuters showed.



The case heard in London&#8217;s High Court and Court of Appeal is the latest in a string of lawsuits brought by buyers against sellers and producers for non-delivery of cargoes after gas rallied from lows plumbed during the COVID pandemic when Russia invaded Ukraine in February 2022.



Taleveras sued Nigerian venture, known as NLNG and involving ShellSHEL.L TotalEnergies TTEF.PA and Eni ENI.MI as partners, four years ago. These three companies are minority shareholders in NLNG, along with the Nigerian state-owned oil company which has 49%. Last week, Taleveras had NLNG&#8217;s appeal rejected, according to an official video of court proceedings.



A full written judgment is due to be released in the coming weeks.



NLNG runs Nigeria’s biggest LNG plant, which covers around 5% of global supply.



NLNG said it was reviewing the ruling and declined further comment. Shell&nbsp;and Eni declined&nbsp;to comment, while TotalEnergies did not respond to a request for comment.



Court proceedings focused on 19 cargoes that NLNG had been due to deliver to Taleveras in 2020-2021.



Taleveras had pre-sold some of these cargoes to Vitol and Glencore, according to court documents.



The trading houses took legal action against Taleveras for non-delivery, leading to a chain of litigation.



The lost appeal means NLNG will need to pay Vitol around $260 million and about $120 million to Glencore, the documents said.



Vitol and Glencore did not respond to requests for comment. It was not clear how much Taleveras would receive on top of $380 million. Taleveras declined to comment.



European benchmark gas prices&nbsp;TRNLTTFMc1&nbsp;swung between 3.63 euros ($4.14) per megawatt-hour in 2020 as demand fell because of the pandemic and 311 euros ($328) per MWh in 2022 after the invasion of Ukraine disrupted supplies to Europe.



When prices soared, some producers cut supply under long-term deals and sold those volumes at higher prices on the spot market instead, triggering a wave of complaints about legality of such actions.



In one such case, Shell SHEL.L and BP BP.L pursued arbitration against Venture Global LNG, a U.S. gas exporter, for failing to supply contracted cargoes. Venture Global cited technical issues at its LNG facilities as the reason for delayed deliveries.



In the case of Taleveras versus NLNG, Reuters could not establish the reasons NLNG cited for delays.



Taleveras was founded in 2004 by Igho Sanomi, one of Nigeria’s independent energy traders. The company is now based in Dubai.



(Reporting by Anna Hirtenstein; Additional reporting by Marwa Rashad and Isaac Anyaogu; Editing by Tomasz Janowski)

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Vitol, Glencore win $380 million award in Nigerian LNG litigation

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="480" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/6XIG4R3DRFK2ZPWEVWERAVU4PA.avif" alt="" class="wp-image-590617"/><figcaption class="wp-element-caption">The new logo of the Nigeria oil company is seen at the NNPC Mega Gas Station in Abuja, Nigeria August 30, 2022. REUTERS/Afolabi Sotunde/File Photo</figcaption></figure>



LAGOS, Feb 25 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s state oil firm NNPC on Tuesday announced a joint venture with Swedish tanker giant Stena Bulk and Nigerian offshore logistics leader Caverton Marine to overhaul maritime transportation in West Africa.



The newly formed company will streamline crude oil, refined products and LNG shipping across West Africa and cater to other oil producers and traders in the region with modern vessels.



The companies did not share financial details of the deal, which was signed last week.



&#8220;By combining our expertise with Stena Bulk and Caverton Marine, we are creating a robust platform that will enhance our domestic refining, import and export capabilities and strengthen Nigeria&#8217;s position in global energy logistics,&#8221; Panos Gliatis, Managing Director of NNPC Shipping, said in a statement.



Erik Hånell, President &amp; CEO of Stena Bulk, said the partnership aligns with the group&#8217;s strategy to expand its presence in key growth markets.



Nigeria boasts Africa&#8217;s largest oil refinery and meets 5% of global LNG demand.



(Reporting by Isaac Anyaogu; Editing by Kirsten Donovan)

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Nigeria’s NNPC, Stena Bulk and Caverton launch new shipping venture

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1080" height="720" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/KHGGXMJKWZP7HCVFIAWSDLU6LM.avif" alt="" class="wp-image-573702"/><figcaption class="wp-element-caption">Nigerian Foreign Minister Yusuf Tuggar speaks during a press conference following talks with his Russian counterpart Sergei Lavrov in Moscow, Russia, March 6, 2024. Alexander Zemlianichenko/Pool via REUTERS/File Photo</figcaption></figure>



ABUJA, Jan 9 (Reuters)&nbsp;&#8211;&nbsp;Nigeria and China plan to deepen cooperation in areas such as clean energy, defence and finance, with China pledging support for Nigeria&#8217;s issuance of Panda bonds to fund infrastructure, the two countries&#8217; foreign ministers said on Thursday.



Nigerian Foreign Minister Yusuf Tuggar and his Chinese counterpart Wang Yi also outlined efforts to address regional security challenges.



Wang was visiting Nigeria as part of a wider four-nation tour of Africa, an annual journey seen as aimed at advancing Beijing&#8217;s already considerable influence on the continent.



His visit to Nigeria follows recent high-level exchanges, including intergovernmental committee talks in Beijing last June and Nigerian President Bola Tinubu&#8217;s state visit to China in September.



These meetings have culminated in the elevation of bilateral relations to a &#8220;comprehensive strategic partnership&#8221;, Wang told a press conference.



Wang said China will &#8220;favourably study and consider&#8221; a request by Nigeria to expand a currency swap agreement.



On regional peace and security, Wang said that at the United Nations Security Council China would always vote in favour of Africa, adding it would continue to support Nigeria in rallying countries in the region.



&#8220;We will work with Africa to address insecurity and achieve long-term stability through development,&#8221; he said.



(Writing by Elisha Bala-Gbogbo; Editing by Frances Kerry)

KHGGXMJKWZP7HCVFIAWSDLU6LM

Nigeria, China deepen ties with pledge on security, finance and economic growth

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_EJOTF6BC3JMHFC7FJKGZLL5WDE-1-820x547.jpg" alt="" class="wp-image-573387" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_EJOTF6BC3JMHFC7FJKGZLL5WDE-1-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_EJOTF6BC3JMHFC7FJKGZLL5WDE-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_EJOTF6BC3JMHFC7FJKGZLL5WDE-1-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_EJOTF6BC3JMHFC7FJKGZLL5WDE-1-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_EJOTF6BC3JMHFC7FJKGZLL5WDE-1.jpg 1080w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Abuja-Kaduna train services resumes after an attack on its passengers by bandits in March, in Abuja, Nigeria December 5, 2022. REUTERS/Afolabi Sotunde</figcaption></figure>



LAGOS, Jan 8 (Reuters) &#8211; China Development Bank has released a $254.76 million loan to Nigeria for a railway project linking the two northern states of Kano and Kaduna, the bank said, ahead of a visit to the West African country by China&#8217;s top diplomat this week.



As part of his annual New Year tour of Africa, China&#8217;s Foreign Minister Wang Yi will arrive in Nigeria on Wednesday and meet President Bola Tinubu and senior government officials on Thursday, Nigeria&#8217;s foreign affairs ministry said.



Construction of the Kaduna-to-Kano rail project, which is expected to cost $973 million, has been slowed by funding delays.



China Development Bank said in a statement on its website that the loan would provide financial support for the smooth progress of the 203-kilometre (126-mile) standard-gauge railway.



&#8220;Once completed, it will provide direct rail connectivity between Kano, an important northern city in Nigeria, and the country&#8217;s capital Abuja, offering local residents a safe, efficient, and convenient mode of transportation,&#8221; the bank said.



Nigeria&#8217;s parliament first approved China&#8217;s Exim Bank as financier for the rail project in 2020 but the bank later withdrew.



The Kano-Kaduna railway project is part of China&#8217;s Belt and Road Initiative and is being constructed by China Civil Engineering Construction Corporation.



It is also expected to ease movement of people and goods in a region, where road travellers face attacks from armed gangs who kidnap for ransom.



China is among Nigeria&#8217;s largest bilateral lenders, providing loans for roads, rail and power stations.



(Reporting by MacDonald Dzirutwe; Editing by Alex Richardson)

https___cloudfront-us-east-2.images.arcpublishing.com_reuters_EJOTF6BC3JMHFC7FJKGZLL5WDE

China Development Bank releases $255 mln for Nigeria rail project

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1920" height="1005" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DANGOTE-REFINERY.avif" alt="" class="wp-image-568268"/><figcaption class="wp-element-caption">A view of the newly-commissioned Dangote petroleum refinery is pictured in Ibeju-Lekki, Lagos, Nigeria May 22, 2023. REUTERS/Temilade Adelaja/File Photo </figcaption></figure>



LAGOS, Dec 20 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s Dangote Refinery is now operating at 85% capacity and is on course to deliver European-standard products by January, an executive said on Friday.



The 650,000-barrel-per-day Dangote oil refinery built by Nigerian billionaire Aliko Dangote in Lagos aims to compete with European refiners when operating at full capacity but had been struggling to secure sufficient crude locally.



&#8220;We have gone up to 550,000 bpd, that is 85% capacity in crude distillation,&#8221; Edwin Devakumar, head of the refinery, told Reuters.



The refinery was forced to source crude from international markets following a dispute with the Nigerian state-oil firm the NNPC over a crude supply deal under which Dangote had agreed to sell a 20% stake in the refinery to NNPC for $2.76 billion.



&#8220;Of this, we agreed that they will only pay $1 billion while the balance will be recovered over a period of five years through deductions on crude oil that they supply to us and from dividends due to them,&#8221; a Dangote spokesperson said.



&#8220;Unfortunately, NNPCL was later unable to supply the agreed 300,000 barrels a day of crude given that they had committed a greater part of their crude cargoes to financiers with the expectation of higher production which they were unable to achieve,&#8221; the spokesperson said in a statement on Wednesday.



Dangote Refinery began processing crude in January into products including diesel, naphtha and jet fuel, and started processing petrol in September.



It still faces challenges distributing the products at home with local fuel traders and even the NNPC&nbsp;importing&nbsp;refined products. The NNPC recently said it had restarted its 60,000 bpd Port Harcourt refinery.



Dangote Refinery cut the price of its petrol to 899.50 naira ($0.58) per litre on Thursday from 970 naira &#8220;to alleviate transport cost during the holiday season&#8221;.



($1 = 1,541.4300 naira)



(Reporting by Isaac Anyaogu; Editing by Emelia Sithole-Matarise)

DANGOTE REFINERY

Nigeria’s Dangote Refinery hits 85% refining capacity, executive says

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="473" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/QPQQ77FJE5JRTNVTB23SO7K7RM.avif" alt="" class="wp-image-568246"/><figcaption class="wp-element-caption">A view shows Nigeria&#8217;s Central Bank headquarters in Abuja, Nigeria November 22, 2020. Picture taken November 22, 2020. REUTERS/Afolabi Sotunde//File Photo</figcaption></figure>



ABUJA, Dec 20 (Reuters)&nbsp;&#8211;&nbsp;The Central Bank of Nigeria (CBN) has granted the country&#8217;s Bureau de Change (BDC)&nbsp;operators temporary access to the official foreign exchange market from December 19 to January 30, 2025, it said in a statement on Thursday.



Operators will be allowed to purchase a maximum of $25,000 weekly from authorised dealers. All transactions require upfront funding at prevailing rates and must adhere to a maximum spread of 1%, the CBN said.



Nigeria&#8217;s central bank typically sells foreign exchange directly to BDCs at a subsidised rate. The bank&#8217;s statement did not explain the reasoning behind the move, which would give the BDCs access to a new automated FX trading system launched this month to replace a decade-old over-the-counter system.



(Reporting by Elisha Bala-Gbogbo; Editing by Peter Graff)

QPQQ77FJE5JRTNVTB23SO7K7RM

Nigeria central bank grants exchange bureaus temporary access to FX spot market

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="427" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/NIGERIA-INFLATION.avif" alt="" class="wp-image-567461"/><figcaption class="wp-element-caption">A woman stands near the bread stand at Cherries Hypermarket in Abuja, Nigeria March 15, 2022. REUTERS/Afolabi Sotunde/File Photo</figcaption></figure>



ABUJA, Dec 18 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s inflation is expected to fall sharply to around 15% next year from 34.6% in November, helped by lower imports of petroleum products, President Bola Tinubu said on Wednesday.



In his second budget speech since being elected, Tinubu said spending priorities in 2025 would include security, infrastructure and measures to ease a cost-of-living crisis.



He said the 2025 spending plan of 47.90 trillion naira included&nbsp;a budget deficit of 3.89% of gross domestic product, approximately 13.0 trillion naira.



&#8220;The reforms we have instituted are beginning to yield results, no reversals,&#8221; Tinubu said in a televised speech.



Inflation quickened sharply in the second half of last year after Tinubu devalued the naira currency&nbsp;NGN=D1&nbsp;and cut subsidies on petrol to try to lift economic growth and shore up public finances.



These actions intensified the most severe cost-of-living crisis in decades in Africa&#8217;s most populous country.



To combat rising inflation, the central bank has raised interest rates six times this year, totalling an increase of 875 basis points.



Tinubu said foreign exchange reserves stood at around $42 billion against a healthy trade surplus, but that 15.18 trillion naira would be needed in 2025 for debt service.



(Reporting by Camillus Eboh; Writing by Chijioke Ohuocha; Editing by Christina Fincher and Alex Richardson)

NIGERIA INFLATION

Nigeria inflation to fall to 15% next year, president says in budget speech

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="480" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/WM23DAP7ZZIDHDPYXPH2BB7XJM.jpg" alt="" class="wp-image-560111" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/WM23DAP7ZZIDHDPYXPH2BB7XJM.jpg 720w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/WM23DAP7ZZIDHDPYXPH2BB7XJM-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/WM23DAP7ZZIDHDPYXPH2BB7XJM-135x90.jpg 135w" sizes="auto, (max-width: 720px) 100vw, 720px" /><figcaption class="wp-element-caption">Bola Tinubu, President of Nigeria, arrives for the closing session of the New Global Financial Pact Summit, Friday, June 23, 2023 in Paris, France. Lewis Joly/Pool via REUTERS/File Photo</figcaption></figure>



ABUJA, Nov 29 (Reuters)&nbsp;&#8211;&nbsp;Nigeria and France have signed two agreements to boost infrastructure development and food security while Nigerian lenders Zenith Bank&nbsp;ZENITHB.LG&nbsp;and United Bank for Africa (UBA)&nbsp;UBA.LG&nbsp;expanded their operations into France.



Nigeria&#8217;s presidential spokesperson Bayo Onanuga said on Friday that the deals, signed the previous day during President Bola Tinubu&#8217;s state visit to Paris, included a 300 million euro investment plan to support critical infrastructure, healthcare, transportation, agriculture, renewable energy and human capital development across Nigeria.



Nigeria&#8217;s finance minister Wale Edun and French economy minister Antoine Armand signed a letter of intent to facilitate the investments. Both nations also pledged to streamline trade and investment processes, Onanuga said in a statement.



&#8220;The two countries committed to forge a strategic relationship in project implementation and enhance mutual trade and cross border services by removing fiscal barriers while protecting labour rights,&#8221; a joint statement said.



In addition to the government-level agreements, Zenith Bank opened its doors in Paris, while UBA is set to follow after agreeing with the French authorities to commence operations in Paris, Onanuga said.



(Writing by Elisha Bala-Gbogbo; Editing by Kirsten Donovan)

WM23DAP7ZZIDHDPYXPH2BB7XJM

Nigeria and France sign infrastructure and finance deals

By Julia Payne



LONDON, Sept 29 (Reuters)&nbsp;&#8211;&nbsp;Nigeria has failed to capitalise on an oil price boom that has helped cushion other exporters from the impact of inflation, with millions more Nigerians now facing poverty.



Data from Nigeria&#8217;s state oil company NNPC shows that it did not contribute anything to state coffers in the first eight months of 2022, despite crude prices averaging $94 a barrel so far this year, a rise of 42% from last year.



At the heart of Nigeria&#8217;s problem is that despite being Africa&#8217;s biggest oil and gas producer, the country depends almost entirely on imports to cover its gasoline needs.



It then subsidises the cost to consumers, which has created a disparity between the price at the pump and what people pay to fill their tanks in neighbouring countries, such as Benin.



This has led to widespread smuggling, which has in turn driven up the amount of costly gasoline Nigeria imports and wiped out the gains that it should have made from crude exports because it ends up buying far more than it needs.



&#8220;Hundreds of thousands of people (in Benin) organize their survival around this traffic,&#8221; Boris Houenou, a Beninois economist said of the smuggling of Nigerian gasoline.



&#8220;A litre of Nigerian petrol worth $0.45 (per litre) can be passed to Benin for $0.70,&#8221; he added.



Estimates of the amount of gasoline smuggled abroad vary, with some independent researchers putting it at around 15 million litres a day, while NNPC&#8217;s own assessment is 42 million.



Nigerian National Petroleum Co (NNPC) said this month that gasoline smuggling was distorting supplies, adding that it was working to crack down on it.&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL8N30633R&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a>



The NNPC&#8217;s federal account allocation (FAAC) shows it remitted just over $3 billion from oil and gas sales to Nigeria&#8217;s federal account in 2020, falling to about $1.4 billion in 2021 and dropping to zero in 2022.



Nigerian oil production has fallen to 1-1.2 million bpd from pre-pandemic levels of 1.8 million bpd after decades of under-investment in upstream assets, while pipeline theft is at its highest level in years, at an estimated at 200,000 barrels per day (bpd).&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL5N2WW3WT&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a><a href="https://www.reutersconnect.com/all?search=all%3AL1N30G0SQ&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a>



Gasoline imports, meanwhile, have ballooned to more than double Nigeria&#8217;s estimated needs this year, Reuters calculations based on the FAAC data indicate.



&#8220;We&#8217;ve moved from 30 million litres a day to 90 million during this administration without anything to show that consumption has actually increased,&#8221; said Cheta Nwanze, lead partner at Lagos-based risk consultancy SBM Intelligence.



NNPC recorded gasoline deliveries of 90 million litres a day in March and 83 million in April, Reuters calculations showed. In the same months last year, imports were 64 and 63 million litres respectively, well above national demand.



Nigeria&#8217;s reliance on imported oil products looks set to continue, two industry sources with knowledge of the matter said, with a new refinery near Lagos unlikely to come online until the end of 2023 and a revamp of the 210,000 barrel-per-day Port Harcourt facility expected to take several years.



NNPC and Nigeria&#8217;s finance ministry did not respond to multiple Reuters requests for comment.



&#8216;CURIOUS CASE&#8217;



Although the Nigerian government announced plans to remove the gasoline subsidy last year, it then backtracked in July, citing concerns over potential social unrest.



The World Bank estimates inflationary pressures will tip 7 million more Nigerians into poverty this year, bringing the total to 45% of the population of 200 million.



&#8220;Despite the better-than-expected performance of the services and agriculture sectors and higher oil prices &#8230; Nigeria is experiencing a curious case of lower fiscal revenues,&#8221; Marco Hernandez, World Bank Lead Economist for Nigeria, said in a June development Report.



&#8220;This is limiting the government&#8217;s ability to expand basic services, support the economic recovery, and protect the poor during this difficult time,&#8221; Hernandez added in the report.



Nigeria&#8217;s Finance Minister Zainab Ahmed has repeatedly warned about the high cost of gasoline subsidies, saying the bill could reach $16.2 billion in 2023.&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL8N2UI5G7&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a><a href="https://www.reutersconnect.com/all?search=all%3AL1N2Z223X&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a>



And the World Bank estimated that foregone oil revenues would total 5 trillion naira ($12.04 billion) this year due to the subsidy, equivalent to 30% of Nigeria&#8217;s entire budget.



In 2020, NNPC retained 4% of oil and gas sales to cover gasoline subsidies. This rose to 45% last year and in 2022 it has reached 83% of sales.



The increasing fuel subsidy is taking away money from capital expenditure and is a &#8220;major drainer to overall government revenues and fiscal position,&#8221; Nigeria&#8217;s finance ministry said in its latest budget projection in August.



&#8220;The subsidy on Petroleum Motor Spirit (PMS) supply has had significant adverse impact on government revenues,&#8221; it added.



Nwanze of SBM Intelligence said: &#8220;The subsidy is a complete waste at this point, but it&#8217;s politically explosive.&#8221;



Nigeria holds presidential elections in February against a backdrop of price rises as a result of the Ukraine crisis and post-pandemic supply chain bottlenecks.



As well as the higher cost of gasoline purchases, a more costly swap contract has also come at a bad time.



Until the end of last year, NNPC covered domestic gasoline needs via Direct Sale Direct Purchase (DSDP) contracts.



Now NNPC is also buying ad hoc cargoes and through a Crude Oil Refining and Direct Partnership Agreement (CORDPA), which involves paying higher premiums and a trader waiting longer to receive its crude delivery as payment.



In May, for example, the DSDP premium was around $10 per tonne of gasoline, while the premium paid under a CORDPA was $22, according to NNPC&#8217;s spreadsheets. Rates vary seasonally and for most of the year these levels had been $35 to about $50 a tonne. NNPC paid up $80 and $100 for some ad hoc cargoes.



And although gasoline is subsidised, the amount ordinary Nigerians pay at the pump remains higher than the set price.



In its FAAC reports for 2021 and 2022, NNPC set its subsidised price at 124 naira ($0.30) per litre, but the average pump price is closer to 200 naira per litre across many states.



&#8220;We should be reaping a bumper harvest but alas we are not,&#8221; lamented one Nigerian official.

Africas Richest Man Builds Nigerias $15 Billion Oil Refinery

ANALYSIS- Nigeria squanders oil price bonanza as gasoline subsidies soar￼

By MacDonald Dzirutwe and Abraham Achirga



ABUJA, May 28 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s former vice president, veteran politician Atiku Abubakar, will run for president again next year after the main opposition party picked him as its candidate to stand in elections to succeed incumbent Muhammadu Buhari.



Abubakar, 75, lost to Buhari during the last election in 2019, which he claimed was rigged. But Buhari will not be on the ballot next year when the second of his two four-year terms comes to an end.



The People&#8217;s Democratic Party (PDP) party, which ruled Nigeria after military rule ended in 1999, was ousted from power by Buhari&#8217;s All Progressives Congress (APC) party in 2015. The PDP is vying for a return to governing Africa&#8217;s biggest economy.



Vote counting started late on Saturday and Abubakar garnered 371 votes, defeating his nearest rival, Nyesom Ezenwo Wike, governor of oil-producing Rivers state, who received 237 votes.



In his acceptance speech, Abubakar reiterated his campaign promise to end insecurity in the country and revive its fragile economy, among other pledges, and promised to work with his opponents.



&#8220;I therefore pledge that I will restore unity. I also committed that I was going to deal decisively with the security situation in this country,&#8221; said Abubakar.



Abubakar has stood in six primaries, and next year&#8217;s vote will be his third presidential bid.



From 1999 to 2007, he was vice president to Olusegun Obasanjo, the first Nigerian leader after the end of decades of military rule.



Abubakar&#8217;s main opponent will be from the ruling APC party, which will choose its candidate at a special convention to be held from June 6-8. The APC postponed its presidential primary from Sunday after the electoral commission extended the deadline for political parties to choose their candidates.



Twenty-five candidates from the APC have registered to take part in the primaries. Vice President Yemi Osinbajo and former Lagos state Governor and party heavyweight Bola Tinubu are seen as the ruling party&#8217;s front-runners.



Buhari&#8217;s successor faces several challenges, from insecurity marked by kidnappings for ransom in the northwest, an Islamist insurgency in the northeast, secessionist violence in the southeast, and a struggling economy and high inflation.



(Writing by MacDonald Dzirutwe; Editing by Sandra Maler and Jonathan Oatis)

Nigeria’s opposition picks Abubakar to run for president again￼

ABUJA, May 25 (Reuters)&nbsp;&#8211;&nbsp;The bid-ask spreads on Nigerian bond yields widened up to 15 basis points on average on Wednesday from 5 basis points before a surprise central bank rate hike a day earlier.



The benchmark 2042 bond bid-ask spread widened as much as 35 basis points, as yields also rose, traders said.



The central bank raised benchmark interest rate by 150 basis points to 13% on Tuesday, its first hike in more than two years, to combat rising inflation, sending markets tumbling.<a href="https://www.reutersconnect.com/all?search=all%3AL5N2XG3P9&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a>



Traders said the central bank sold the one-year Treasury bill at 6.49% after investors demanded the debt at a rate as high as 10.25%. This compares with a yield of 4.75% the one-year maturity fetched at a previous auction.



The main share index&nbsp;.NGSEINDEX&nbsp;gained 1.24% on Wednesday, recovering from a two-week low triggered by the rate decision. The index has been rising this year as local investors pile into equities in the wake of double-digit inflation.



(Reporting by Chijioke OhuochaEditing by James Macharia Chege and Sam Holmes)

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Nigerian bond spreads widen after surprise rate hike

ABUJA, May 24 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s central bank on Tuesday raised the benchmark interest rate by 150 basis points to 13%, its first hike in more than two years, to combat rising inflation, sending markets tumbling.



The move surprised analysts and traders who expected the Monetary Policy Committee (MPC) to keep the rate on hold.



But&nbsp;Governor Godwin Emefiele told a news briefing&nbsp;that&nbsp;the rate hike was necessary to tame inflation, which quickened to 16.82% in April, its highest in eight months, amid a fragile economic recovery.



Six members of the MPC voted to increase the main lending rate by 150 basis points, four of them by 100 basis points and one by 50 basis points.



It was the biggest rate hike since&nbsp;July&nbsp;2016 when the central bank increased rates by 200 basis points.



&#8220;(MPC members) felt that tightening will help rein in inflation before it assumes a galloping trend,&#8221; Emefiele said.



&#8220;The committee decided to raise monetary policy rate for the first time in two and a half years to rein in the current rise in inflation as members were of the view that the continued uptrend may adversely impact growth.&#8221;



Food and energy prices are rising in Africa&#8217;s most populous country after Russia&#8217;s invasion of Ukraine pushed up oil prices and disrupted supplies of commodities like corn and wheat.



The rate hike sent the yield on Nigeria&#8217;s longest 30-year bond soaring 75 basis points to 13.8%.&nbsp;Overnight lending rates climbed 200 basis points to 14% while the main share index&nbsp;.NGSEINDEX&nbsp;fell to a two-week low.



Razia Khan, chief economist for Africa and the Middle East at Standard Chartered, said the rate increase raised questions about whether this could be a precursor to a change in the central bank&#8217;s policy on foreign exchange.



&#8220;This could be the most important signal yet of eventual FX policy intentions &#8230; but we will not really know until we see whether and how much market rates reprice,&#8221; she said.



The naira recovered from a record low of 609 on the black market&nbsp;NGNP=&nbsp;to 606 naira against the dollar after the hike but it weakened to 443.50 naira on the official market&nbsp;NGN=&nbsp;from 413.80 naira and later traded at 417 naira.



The central bank governor, who ended his presidential ambition on Monday, said the economy was expected to expand 3.25% this year, lower than the federal government&#8217;s projection of 4.2% growth.



(Writing and additional reporting by MacDonald Dzirutwe and Estelle Shirbon; Editing by Catherine Evans, Mark Potter and Mark Porter)

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Nigeria’s central bank surprises with rate hike, cites inflation

ABUJA, May 23 (Reuters)&nbsp;&#8211;&nbsp;Nigerian GDP grew 3.11% in the first quarter, slower than in the previous quarter as a fall in oil production hit the rest of the economy, the national statistics office said on Monday ahead of a central bank interest rate decision on Tuesday.



It was the sixth consecutive quarter of growth, with non-oil sectors helping Nigeria bounce back from a severe recession caused by the COVID-19 pandemic. The full-year GDP figure for 2021 showed the fastest growth in seven years.&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL1N2US0UR&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a>



Gross domestic product grew by 3.98% in the fourth quarter of 2021. In the first three months of last year, the growth rate was 0.51%.



&#8220;After the recession experienced by the country in 2020 occasioned by the COVID-19 pandemic, the economy has been on the path of growth,&#8221; the National Bureau of Statistics (NBS) said.



It said non-oil sectors such as financials, communication, trade and healthcare were among the fastest growing.



However, oil refining, crude petroleum and natural gas, road transport, quarrying and other minerals were lagging.



The naira&nbsp;NGNP=, hit a record low of 609 against the dollar on the black market, where it is freely traded, as the GDP data was announced.



The oil sector shrank by 26.04% in the first quarter, compared with an 8.06% contraction the previous quarter. Crude production fell to 1.49 million barrels per day in the first quarter from 1.50 million barrels in the previous three months.



Frequent vandalism and illegal refining in the oil-producing Niger Delta region have kept the sector under pressure. Nigeria has struggled to meet its production targets, partly missing out on the effects of the global surge in oil prices.



The weak growth could prompt the central bank to keep its dovish stance at a policy meeting on Tuesday despite double-digit inflation, analysts say.&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL2N2VO1JM&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a>



($1 = 415.00 naira)



(Reporting by Chijioke Ohuocha; Editing by Estelle Shirbon, Jan Harvey and Tomasz Janowski)

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Nigeria Q1 GDP growth slows Q/Q ahead of rates decision

ABUJA, May 17 (Reuters)&nbsp;&#8211;&nbsp;Nigeria is monitoring Meta Platforms Inc&#8217;s&nbsp;FB.O&nbsp;Facebook and other platforms to ensure they comply with demands to curtail hate speech on their sites, as it steps up its campaign for responsible use of social media, Information Minister Lai Mohammed said on Tuesday.



Mohammed&#8217;s comments came after meeting with Facebook&#8217;s team in Nigeria&#8217;s capital, Abuja. He said Facebook had done nothing to curtail the activities of separatist group Indigenous People of Biafra (IPOB) on their platform despite several complaints.



Nnamdi Kanu, IPOB&#8217;s leader, is standing trial on charges that include terrorism and broadcasting falsehoods. A judge will decide on Wednesday on whether Kanu should be granted bail.&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL5N2W62BC&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a><a href="https://www.reutersconnect.com/all?search=all%3AL5N2W55OW&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a>



Mohammed said the separatist group has been classified as a terrorist organisation and that &#8220;Facebook has no justification for yielding its platform to the organisation to further its campaign of hate and destabilisation of the country&#8221;.



Nigeria is facing secessionist agitation which has given rise to regional calls for power-sharing between southern and northern Nigeria.



The country is also dealing with insecurity, banditry, kidnapping, a weak currency amid double-digit inflation and slow growth.



Mohammed said the Facebook meeting was called to discuss the increasing use of the social media platform by separatists based outside Nigeria to instigate violence and ethnic hatred in the country in English and local language.



He said the government has no intention of preventing Nigerians from using social media but is advocating responsible use.



Nigeria lifted a six-months ban on Twitter&nbsp;TWTR.N&nbsp;in January after the social media company removed a post from President Muhammadu Buhari that threatened to punish regional secessionists. Telecoms companies subsequently blocked access to users in Nigeria.<a href="https://www.reutersconnect.com/all?search=all%3AL2N2NM1P8&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Read full story</a>



(Writing by Chijioke Ohuocha)

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Nigeria asks Facebook, other platforms to curtail hate speech￼

ABUJA, May 16 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s economic crimes agency said on Monday night it had arrested the country&#8217;s accountant general over charges of diverting public funds and money laundering to the tune of 80 billion naira ($193 million).



Africa&#8217;s biggest economy and energy producer, Nigeria has struggled for decades with endemic corruption among senior public servants and the political elite, who many Nigerians blame for widespread poverty in the country.



The Economic and Financial Crimes Commission (EFCC) said in a statement it had invited Ahmed Idris, the administrative head of the national treasury, on several occasions to answer questions on the charges but he had failed to present himself.



Idris could not be reached on his mobile phone for comment.



The EFCC said Idris used &#8220;proxies, family members and close associates&#8221; in deals and schemes to defraud the government and invested the proceeds in real estate in the nation&#8217;s capital Abuja and his home state of Kano in northern Nigeria.



The agency has in the past successfully prosecuted a former head of police and former state governors among several high ranking government officials and politicians.



Earlier this year, the government said EFCC recovered at least $750 million in local and foreign currency linked to corruption and fraud in 2021.



(Editing by MacDonald Dzirutwe; Editing by Sandra Maler)

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ANALYSIS- Nigeria squanders oil price bonanza as gasoline subsidies soar

Nigeria’s opposition picks Abubakar to run for president again

Nigerian bond spreads widen after surprise rate hike

Nigeria’s central bank surprises with rate hike, cites inflation

Nigeria Q1 GDP growth slows Q/Q ahead of rates decision

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Spotify royalty payouts to Nigerian, South African artists boom in 2024

Nigeria’s Q4 GDP growth quickens to 3.84% y/y

Vitol, Glencore win $380 million award in Nigerian LNG litigation

Nigeria’s NNPC, Stena Bulk and Caverton launch new shipping venture

Nigeria, China deepen ties with pledge on security, finance and economic growth

China Development Bank releases $255 mln for Nigeria rail project

Nigeria’s Dangote Refinery hits 85% refining capacity, executive says

Nigeria central bank grants exchange bureaus temporary access to FX spot market

Nigeria inflation to fall to 15% next year, president says in budget speech

Nigeria and France sign infrastructure and finance deals

ANALYSIS- Nigeria squanders oil price bonanza as gasoline subsidies soar￼

Nigeria’s opposition picks Abubakar to run for president again￼

Nigerian bond spreads widen after surprise rate hike

Nigeria’s central bank surprises with rate hike, cites inflation

Nigeria Q1 GDP growth slows Q/Q ahead of rates decision

Nigeria asks Facebook, other platforms to curtail hate speech￼

Nigeria’s accountant general faces corruption charges after arrest￼

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ANALYSIS- Nigeria squanders oil price bonanza as gasoline subsidies soar

Nigeria’s opposition picks Abubakar to run for president again

Nigeria asks Facebook, other platforms to curtail hate speech

Nigeria’s accountant general faces corruption charges after arrest