Anietie Udobit, Abuja
Nigeria’s economic pressure intensified further on Monday after new financial data revealed that the country’s domestic borrowing rose to ₦8.1 trillion in the first quarter of 2026.
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Economic analysts say the surge reflects increasing government dependence on local debt financing amid mounting fiscal challenges and revenue constraints.
At the same time, traders and small business owners across major cities are struggling to survive rising transportation and energy costs triggered by fresh increases in fuel prices.
Many market operators say profits have collapsed as transport fares and logistics expenses continue to rise daily.
The latest pressure follows another sharp jump in global oil prices caused by escalating tensions in the Middle East.
Brent crude climbed above $104 per barrel, while U.S. crude approached the $99 mark after President Donald Trump rejected Iran’s latest peace proposal, raising fears of prolonged instability in the Gulf region.
The situation has triggered another wave of fuel price increases across Nigeria.
Petrol now sells between ₦1,364 and ₦1,500 per litre in parts of Abuja, Lagos and other states, compared to about ₦900 per litre recorded earlier in the year.
Industry observers say the increase reflects global market realities despite expectations that local refining by Dangote Refinery would ease domestic costs.
The Federal Government has ruled out the return of fuel subsidies, warning that sustaining subsidies under current global oil prices could consume more than 70 percent of the national budget.
Economists warn that if inflationary pressures persist, more small businesses may shut down while household hardship worsens nationwide.
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