The Organisation of Petroleum Exporting Countries (OPEC) has disclosed that oil exports increased astronomically by 60.8% in the third quarter of 2023.
According to the report by OPEC released late Tuesday, exports rose by 115% year-on-year, reaching an unprecedented high of NGN3,867 billion, while imports surged by 34.5% to NGN2,429 billion.
The statement reads: “Throughout 3Q23, exports witnessed a remarkable 60.8% increase, and imports soared by 47.7%, culminating in a trade surplus of NGN1,888.92 billion in that period.
“In late January, the naira exchange rate was devalued from NGN975/US$ to NGN1,414/US$. As a consequence, imported inflation may rise, although the weakened local currency could offer further support to non-oil exports.
“Moreover, business confidence has improved compared to the previous month, with firms maintaining a positive outlook on output growth in the year ahead.
“Nigeria’s near-term downside risks may be driven by challenges in the power grid, an intensification of monetary tightening, exchange rate fluctuations, inflation volatility, and global geopolitical uncertainty.
“According to secondary sources, total OPEC-12 crude oil production averaged 26.34 mb/d in January 2024, lower by 350 tb/d, month-on-month. Crude oil output increased mainly in the UAE, Saudi Arabia, and Venezuela, while production in Libya, Kuwait, Iraq, and Algeria decreased.”
Persecondnews reports that Nigeria’s current oil output is below the nation’s 2024 budget target of 1.7 million bpd, with the budget heavily dependent on proceeds from crude sales.
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