Abuja, Nigeria | September 8, 2025 – Nigeria may face fresh economic strain following OPEC+’s decision to ramp up global oil supply, a move that could further pressure the country’s already fragile revenue base.
The oil cartel, which met on Sunday, agreed to increase crude output by 137,000 barrels per day beginning next month. This marks the first phase of a larger supply package totaling 1.65 million barrels per day, originally scheduled for release at the end of next year but now being brought forward.
The decision reflects OPEC+’s continued strategy of prioritizing global market share over price stability, a shift that experts warn could dampen international crude prices and reduce earnings for oil-dependent economies like Nigeria.
Nigeria, Africa’s largest oil producer, relies on petroleum exports for the bulk of its foreign exchange and fiscal revenues. Analysts caution that the additional barrels could worsen Nigeria’s fiscal deficit, put further pressure on the naira, and complicate the government’s efforts to stabilize the economy under ongoing reforms.
While the increased output may benefit oil-importing nations by easing global supply constraints, it is expected to tighten Nigeria’s fiscal position unless offset by stronger domestic production efficiency or non-oil revenue growth.
