By Yinka Kolawole
Manufacturers under the aegis of the Manufacturers Association of Nigeria have faulted the call by the World Bank for Nigeria to reinstate petrol import licences in order to stabilise fuel supply in the wake of the Middle East crisis.
Reacting to the World Bank’s advice which it later clarified urging a reassessment in light of evolving global energy dynamics, Director General of MAN, Segun Ajayi-Kadir, described the fuel importation prescription as a recipe for deindustrialisation and national economic retrogression.
He said having reviewed the April 2026 Nigeria Development Update (NDU) by the World Bank, and its subsequent clarification regarding the downstream petroleum sector, MAN objects to the initial premise that reinstating petrol import licenses is a viable, long-term strategy to avert an inflation spike, asserting that it is not, and should not be considered as an option.
His words: “In clear terms, suggesting that Nigeria should open its borders to imported Premium Motor Spirit (PMS) to solve an inflationary crisis is structurally flawed, counterproductive, and highly detrimental to Nigeria’s industrialisation agenda. In the long run, it will perpetually constrain Nigeria into the circle of exporting jobs and wealth, and importing poverty.
“The World Bank’s report posited that the suspension of import licenses stifled competition, allowing domestic ex-depot prices to rise, thereby driving up inflation. This analysis panders to short-term bias and does not take into account the following foundational macroeconomic realities of the Nigerian economy: FX drain and the major driver of inflation; exporting jobs and subsidising foreign economies; and energy sovereignty amidst global shocks.
“Rather than giving consideration to the short-sighted and destructive route of importing our way out of an inflation crisis, MAN advocates for practical, home-focused, and sustainable measures to mitigate the global energy supply shock and lower consumer prices, such as: optimisation of the Naira-for-crude policy; aggressive rollout of alternative energy (CNG); targeted interventions for the productive sector; and investment in critical power infrastructure.
“Importation of PMS will undermine domestic refining capacity; contribute to the disruption of the foreign exchange market; disincentivize investment in and expansion of local refining, and truncate the relief that Nigerians have started to enjoy since the advent of Dangote Refinery and other local refineries.
“MAN firmly reiterates its position that, as a country, we must strive to produce what we consume and consume what we produce. It is not in our national interest to perpetuate avoidable dependence on imported fuel, when we are numbered among the leading producers of crude oil and have domestic capacity to meet national demand and even export. No, we shouldn’t!.
“We urge the Federal Government to be wary of neo-liberal prescriptions that could jeopardise or decimate our hard-won domestic manufacturing capabilities. The path to inclusive growth, a strong Naira, more jobs, single-digit inflation, and a prosperous Nigeria is surer when we protect our local industries. We should therefore reject any policy recommendation that would ultimately lead to the exportation of jobs and importation of poverty.”
Article Manufacturers fault World Bank’s proposal to reinstate petrol import licences Live On NgGossips.
