The Lagos Chamber of Commerce and Industry has called on the Federal Government to boost local crude oil refining and expand petrol exports to curb inflation and strengthen the naira.
This was disclosed in an interview by the President of the LCCI, Gabriel Idahosa, on Saturday, according to The PUNCH.
Idahosa stated that the N54.99 trillion 2025 budget is inadequate to achieve Nigeria’s broader economic goals, including a $1 trillion economy by 2030 and reducing inflation from a record 34.8% to 15%.
“None of the budget either this year or next year will be enough to achieve the broad targets of growing the economy,” Idahosa said. “This budget is just one of several steps towards that ultimate objective.”
He emphasized that while the government’s 15% inflation target is ambitious, it can be achieved with disciplined policies, especially in the foreign exchange market.
“Some of the targets have been considered ambitious, like the inflation reduction of inflation targets,” Idahosa noted. “A lot of observers feel that it is quite ambitious and it will be difficult to attain.
“The government has given itself a very challenging target on inflation reduction. So, we will see how they can achieve it. Everyone is hoping that they can achieve it.”
He urged the government to stabilize the exchange rate at N1,300, stating, “If they can reduce the stable exchange rate from N1,500 to about N1,400 or N1,300 as the sustainable new exchange rate benchmark, then you can see inflation coming down even more than their targets.”
Idahosa stressed the need for Nigeria to increase local refining and petroleum product exports to stabilize the exchange rate and curb inflation.
“It is very important that we are producing enough and exporting. The more we export refined petroleum products, the lower the exchange rate; typically, the price of the dollar will be coming down,” he said.
The LCCI president stated that as Nigeria increases refined product output and expands non-oil exports like fertilizers and cement, a surplus of foreign currency will emerge.
He emphasized the role of the Dangote Refinery and NNPC refineries in ending petrol imports and positioning Nigeria as a net exporter of refined petroleum products.
“We have the Dangote Refinery and NNPC refineries, to give enough for us to completely stop import of petrol. Generally, the surplus of extra foreign currency in the economy is increasing as we produce more refined products and non-oil exports
“We are already exporting, but we must ensure we stop importing petrol completely,” he added
