On Friday, Nigeria’s President Muhammadu Buhari voiced his alarm over widespread crude oil theft, saying it was having a “enormous” impact on the country’s finances.
The oil regulator estimates that Nigeria lost $1 billion in income owing to petroleum theft in the first quarter of this year.
Buhari informed government employees who are asking a wage raise to assist cope with double-digit inflation that Nigeria is unable to satisfy some of its financial obligations to its citizens due to the oil theft.
In response to a request for a raise, Buhari said, “On your request for a salary review, I wish to urge you to appreciate the revenue constraints being presently faced by government, which is caused mainly by the activities of unscrupulous citizens through the theft of our crude oil, a major contributor to our revenue base.”
The local head of Shell has stated that the theft of crude poses an existential threat to the Nigerian oil industry, which has led to the closure of two key pipelines.
In the wake of the economic upheaval created by the COVID-19 outbreak, Nigeria is currently fighting to stabilise its ailing currency, to limit rising inflation, and to boost growth.
According to figures released on Monday, Nigeria’s annual inflation (NGCPIY=ECI) reached a 17-year high in July. explore this site
The conflict in Ukraine is partly to account for the increase in global food prices and high transportation expenses, according to Buhari.
To prevent thieves from shipping stolen crude by sea, he ordered security forces to swiftly crack down on individuals implicated in oil theft in the Niger Delta.
We will not allow a small group of criminals to control our nation’s oil supplies, Buhari vowed.