By Boluwatife Oshadiya | June 22, 2026
Key Points
- Nigeria’s crude oil imports jumped 308.8% to $1.39 billion in the first quarter of 2026
- Refined petroleum product imports fell sharply by 87.5% to $310 million as domestic refining expanded
- Refined fuel exports rose to $2.37 billion, strengthening Nigeria’s trade and current account positions
Main Story
Nigeria imported crude oil worth $1.39 billion during the first quarter of 2026, underscoring a major shift in the country’s petroleum trade structure as domestic refiners increasingly sourced feedstock from international markets.
According to the Central Bank of Nigeria’s Balance of Payments report for Q1 2026, crude oil imports rose from $340 million in the fourth quarter of 2025, representing a 308.82 per cent quarter-on-quarter increase.
The surge has been largely linked to the growing operational requirements of the 650,000-barrels-per-day Dangote Petroleum Refinery, which has expanded production and exports of refined petroleum products while supplementing local crude allocations with imported grades.
Despite being Africa’s largest crude oil producer, Nigeria imported crude oil accounting for approximately 81.8 per cent of its total crude, gas and refined petroleum product imports of $1.70 billion during the quarter.
The increase in crude imports occurred alongside a dramatic reduction in refined petroleum product imports. The CBN reported that fuel imports declined by 87.5 per cent to $310 million from $2.48 billion in the preceding quarter, reflecting increased reliance on locally refined products.
At the same time, exports of refined petroleum products rose by 20.3 per cent to $2.37 billion from $1.97 billion, reinforcing indications that Nigeria is gradually transitioning from a major importer of refined fuels to an emerging exporter.
The country’s broader external sector also improved significantly. Nigeria recorded a goods trade surplus of $5.95 billion in Q1 2026, while the current account surplus climbed to $4.98 billion, supported by stronger earnings from crude oil, gas and refined petroleum exports.
However, concerns remain over domestic crude supply challenges. Data from the Nigerian Upstream Petroleum Regulatory Commission showed that local refineries received only 28.5 million barrels of crude oil during the quarter despite allocations exceeding 61 million barrels under the Domestic Crude Supply Obligation framework.
What’s Being Said
“Provisional balance of payments statistics for Q1 2026 show a current account surplus of $4.98 billion, which was higher than the $1.40 billion and $3.41 billion recorded in the preceding quarter and corresponding period respectively,” the Central Bank of Nigeria stated in its report.
“One of the major issues we are having with Dangote buying more crude from the U.S. is because of the type of products offered and the pricing. It is based on commercials,” said Eche Idoko, Publicity Secretary, Crude Oil Refiners Association of Nigeria (CORAN).
“Producers sell more Brent crude at a premium, while imports are often based on WTI grades that better fit refinery economics and operational requirements,” Idoko added.
What’s Next
- Regulators are expected to intensify efforts to improve crude supply to domestic refiners under the Domestic Crude Supply Obligation framework.
- Industry stakeholders will continue monitoring negotiations around crude pricing mechanisms between producers and refiners.
- Further increases in refined petroleum exports are anticipated as local refining capacity continues to expand.
- The performance of Nigeria’s external reserves and current account balance will remain closely tied to global oil prices and refining output levels.
Bottom Line
The Bottom Line: Nigeria’s rising crude imports may appear contradictory for a major oil-producing nation, but they reflect the growing complexity of its refining sector. The real challenge is no longer refining capacity—it is ensuring that domestic crude supply and pricing structures support local refiners without forcing them to depend increasingly on foreign feedstock.
