Nigeria’s gross profit from crude and gas sales fell by 43 per cent in 2024, contributing just eight per cent of total oil and gas revenue despite a rebound in production, according to the Budget Office. Oil income declined to ₦1.08 trillion from ₦1.9 trillion in 2023, reflecting a sharp drop in profit margins.
Revenue growth instead came from taxes, royalties, and exchange-rate gains. Petroleum Profit Tax and Company Income Tax generated ₦6 trillion, while royalties brought in ₦6.99 trillion — nearly triple the previous year. Exchange-rate gains soared to ₦4.24 trillion after the naira’s liberalisation.
Also Read: Nigeria’s Oil Output Falls 4% to 1.43m Barrels per Day says OPEC
Overall, total oil and gas revenue stood at ₦15.07 trillion, ₦4.93 trillion below target, highlighting Nigeria’s deepening shift away from crude sales toward fiscal inflows.
Leave feedback about this
You must be logged in to post a comment.