Nigeria's expenditure on petrol imports declined sharply in the first quarter of 2026, reflecting a significant shift in the country's fuel supply structure as domestic refining capacity continues to expand.
Latest foreign trade figures released by the National Bureau of Statistics (NBS) showed that imports of Premium Motor Spirit (PMS), commonly known as petrol, were valued at ₦87.4 billion between January and March 2026, compared with ₦2.27 trillion recorded during the same period in 2025.
The reduction represents a year-on-year decline of approximately ₦2.18 trillion, or 96.15 per cent, making it one of the steepest contractions in Nigeria's petrol import expenditure in recent years.
The latest data also showed that petrol no longer featured among Nigeria's leading imported commodities during the quarter under review, a development that underscores changing supply patterns within the downstream petroleum sector.
According to the NBS report, total imports into the country stood at ₦13.62 trillion in the first quarter of 2026, representing decreases of 18.17 per cent and 21.05 per cent compared with the corresponding period of 2025 and the preceding quarter respectively.
While petrol imports declined substantially, crude petroleum oils, gas oil, durum wheat, telecommunications equipment, used vehicles, motorcycles, pharmaceutical products, aircraft components, butane and petroleum-related products ranked among the country's major imports.
The report further indicated that imports classified as other oil products amounted to ₦748.1 billion during the quarter, significantly lower than the ₦5.01 trillion recorded in the first quarter of 2025 and the ₦4.02 trillion reported in the final quarter of 2025.
Historical trade data illustrate the scale of the shift.
Nigeria spent approximately ₦2.69 trillion on petrol imports in the first quarter of 2022. The figure declined to ₦2.03 trillion in 2023 before rising sharply to ₦3.81 trillion in the corresponding period of 2024. Import expenditure subsequently moderated to ₦2.27 trillion in the first quarter of 2025 before falling to ₦87.4 billion this year.
The latest figure implies that the amount spent on petrol imports during the first quarter of 2026 represented only a fraction of what was recorded a year earlier.
Trade statistics also reveal changing patterns in the country's overall petrol trade activity. Total trade value associated with the product stood at ₦7.71 trillion in 2022 and ₦7.51 trillion in 2023 before surging to ₦15.42 trillion in 2024. The figure later eased to ₦10.37 trillion in 2025 amid evolving market dynamics.
Industry analysts attribute the decline in petrol imports largely to increasing domestic refining output, which has reduced dependence on foreign supplies and lowered the volume of fuel brought into the country.
For decades, Nigeria relied heavily on imported petrol despite being one of Africa's largest crude oil producers, largely because of inadequate local refining capacity and prolonged operational challenges at state-owned refineries.
Recent investments in domestic refining infrastructure have altered that landscape, with locally refined products accounting for a growing share of national fuel consumption.
Data from the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) showed that domestic petrol production strengthened throughout the first four months of 2026.
In January, local supply averaged about 40.1 million litres per day, representing nearly 62 per cent of total national petrol availability, while imports contributed approximately 24.8 million litres daily.
By February, imported volumes had dropped significantly. Domestic production stood at roughly 36.5 million litres per day, while imports declined to about 3.1 million litres daily, leaving locally refined products responsible for more than 90 per cent of supply.
The March supply profile showed domestic output at 34.2 million litres per day, while imports increased modestly to around 5.9 million litres daily.
Supply levels strengthened again in April, with local production reaching approximately 40.7 million litres per day against imported volumes of 3.7 million litres daily.
The disappearance of petrol from Nigeria's list of top imported products highlights the growing influence of domestic refining on the country's trade profile and foreign exchange requirements.
Market observers note that sustained reductions in fuel imports could support Nigeria's trade balance, ease pressure on foreign exchange demand and retain a larger portion of petroleum-related value within the domestic economy, provided local production continues to meet national consumption needs.