The Governor of the Central Bank of Nigeria, Olayemi Cardoso, has raised concerns over the escalating conflict in the Middle East, warning that it poses a serious threat to Nigeria’s economic stability.

Speaking at the Monetary Policy Forum in Abuja on Thursday, Cardoso noted that the tensions could have far-reaching implications for the country’s financial outlook.

The hostilities between Iran and Israel have driven global crude oil prices sharply higher, with benchmarks surging past $100 per barrel amid disruptions along the Strait of Hormuz.

The spike in global oil prices has triggered a sharp rise in petrol costs across Nigeria, with pump prices climbing to about N1,350 per litre.

Although Nigeria has made notable progress in boosting external reserves, fortifying the banking sector, and enhancing the safety of its payments system, Cardoso acknowledged that considerable headwinds remain.

The CBN boss projected global economic growth at 3.3 per cent for 2026, while cautioning that tight financial conditions, the continuing impact of monetary tightening, and geopolitical tensions could weigh on this outlook.

“The Middle East crisis, with its impact on oil price volatility, constitutes a major source of risk to the Nigerian economy,” Cardoso cautioned.

Last week, Brent crude surged to $112 per barrel, reaching its highest level since mid-2022, well above Nigeria’s $64.85 budget benchmark.

The spike in global oil prices has also driven up Middle Eastern grades, with Abu Dhabi’s Murban crude doubling in value.

Brent alone has climbed more than 50 per cent this month, pushing up transportation costs and increasing operating expenses for small and medium-sized enterprises, further intensifying the country’s ongoing cost-of-living crisis.