LAGOS, Nigeria (VOICE OF NAIJA)-The Independent Petroleum Marketers Association of Nigeria have said the price of Premium Motor Spirit, popularly known as fuel will continue to increase as long as the US Dollar rises in the foreign exchange market.
Chinedu Okoronkwo, the National President of IPMAN, made this disclosure in a statement with Daily Post, while reacting to speculation of further fuel pump hikes.
The IPMAN’s President noted that fuel price will keep increasing as long as dollar keeps rising in the forex market.
“Nigerians should understand that with fuel subsidy removal, the government is no longer determining pump prices but the market forces. The product is bought in dollars. The dollar is around 890/$1 now. As the dollar climbs, fuel pump prices will continue to go up.
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As a solution, he urged the government to double up efforts to make Compressed Natural Gas available for Nigerians.
“Government should make conscious efforts towards making CNG available for Nigerians,” he stated.
Recall that naira dropped further to the dollar, exchanged at N782.38/$1 on Wednesday at the official market. But, at the parallel market dollar is enchanted at 910/$1.
Also recall that three weeks ago, fuel marketers increased fuel pump price from N539/per litre to over N600/per litre.
Consequently, the pump price of the product is expected to exceed N617/per litre.