The Naira today suffered another major sell off crashing to all time low in both the parallel market and the peer-to-peer market.
As at the time of filling in this report, the Naira was trading at N985 to one Dollar in the black market also known as parallel market.
It was however worst hit in the peer-to-peer market where it dropped to N990 against the greenback before recovering marginally to N988 to one Dollar.
Meanwhile, Petrol marketers have called for urgent intervention by the federal government to arrest the fast increase in the pump price of diesel to prevent imminent distribution crisis.
The marketers said they can no longer sustain the distribution of petrol and other products nationwide as the price of diesel used to power their trucks now sells for N1,100/litre in many locations.
The marketers, under the aegis of Natural Oil and Gas Suppliers’ Association of Nigeria (NOGASA), raised the alarm in a statement on Tuesday.
The association’s president, Mr Benneth Korie, said that diesel has witnessed incessant hike in prices in recent months, a development he said has been worsened by marketers’ inability to secure cheap bank loans that will enable them restock and sell petrol at the current pump price of N617/litre.
Korie lamented that the rapidly-rising diesel price was evidently causing hardships in haulage transportation and commuting alike.
He, therefore, called on the government to intervene before the sector gets grounded and derails the anticipated growth.
The NOGASA president assured that finding lasting solutions to the incessant hike in diesel price will be a major issue that will be addressed by the union at its annual general meeting (AGM) coming up in October.
According to him, “NOGASA is worried about the ugly development and trying to understand why prices of diesel are going as high as N950 to N1,100 per litre in the market with a view to moderating the prices and shocks in the economy.”
Experts, however, were of the view that the hike in diesel price may stem from the rise in crude oil price, which currently stands at $95 per barrel.
Another factor is the Naira slump, which is inching towards N1,000/$1 in the parallel exchange rate market.
Korie advised that the Nigerian refineries should be given emergency attention by the government to ensure rising energy cost does not murder the economy.
“We will continue to deliver on our mandate as we make progress in the oil and Gas Industry.
“We advise that suppliers should go about their respective businesses until proper resolution will be taken at the NEC meeting,” Korie stated.
Stay with IgbereTV, Africa’s number one online community TV
