Global crude oil prices remained above Nigeria’s $64.85 per barrel budget benchmark on Monday, offering short-term relief for Africa’s largest oil producer amid rising geopolitical tensions in the Middle East.
Brent crude traded around $65.80 per barrel, while U.S. West Texas Intermediate hovered near $61 per barrel, supported by a risk premium linked to concerns over potential supply disruptions in the region.
Although prices eased slightly from recent highs, they stayed close to levels critical for Nigeria’s 2026 fiscal projections. Oil revenues account for a significant share of the country’s government income and foreign exchange earnings, making price stability crucial for budget execution.
Recent volatility, however, highlights Nigeria’s continued exposure to global market swings. Oil prices briefly fell below the budget benchmark last week, renewing concerns over revenue sustainability.
Lawmakers remain divided over fiscal assumptions, with the Senate previously pushing for a more conservative oil price benchmark to cushion against market shocks.
Analysts say sustained geopolitical uncertainty could keep prices supported in the near term, but warn that Nigeria remains vulnerable to sudden shifts in global energy markets. Visit www.jocomms.com for more news.