Petrol price hits N1,037.66 in June 2025 amid inflation pressures

The average retail price of Premium Motor Spirit (PMS), commonly referred to as petrol, rose to N1,037.66 per litre in June 2025, representing a 38.32% year-on-year increase from N750.17 recorded in June 2024, according to new data released by the National Bureau of Statistics (NBS) on Thursday.

On a month-on-month basis, the price increased marginally by 0.96%, up from N1,027.76 in May 2025. The figures are detailed in the NBS’s latest “Premium Motor Spirit (Petrol) Price Watch” report, which also highlights ongoing volatility in fuel prices across Nigeria despite recent efforts to stabilize the downstream sector.

The report shows significant regional disparities in fuel prices: Jigawa State recorded the highest average retail price at N1,107.52. Ondo and Lagos States followed with N1,104.80 and N1,100.29, respectively.

In contrast, the lowest average prices were recorded in: Yobe State – N950.60; Kogi State – N986.67; Imo State – N987.86

A zonal analysis further revealed the price spread across Nigeria’s six geopolitical zones:

 North-West – Highest average at N1,062.84

 North-East – Lowest zonal average at N1,020.15

North-Central – N1,021.83

South-East – N1,043.18

South-South and South-West figures were not specified but reflected similar trends.

The NBS noted that despite recent interventions, including price adjustments by local refineries, price fluctuations remain a concern in the downstream petroleum sector.

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In a bid to cushion rising fuel costs, the Dangote Refinery earlier in July announced a reduction in its ex-depot petrol price from N840 to N820 per litre. This marks the second price cut in nine days by the Lagos-based facility, signaling efforts to stabilize the market and offer some relief to consumers.

Industry analysts say the refinery’s pricing strategy could lead to broader market corrections in the months ahead, although impact at the pump has yet to be fully felt.

Meanwhile, the NBS also reported a decline in Nigeria’s headline inflation rate, which eased to 22.22% in June 2025, down from 22.97% in May 2025.

However, on a month-on-month basis, inflation rose slightly, with the June figure at 1.68%, up 0.15 percentage points from May’s 1.53%, indicating that prices continue to rise, albeit at a slower pace.

Year-on-year, the June 2025 inflation rate was 11.97 percentage points lower than the 34.19% recorded in June 2024, suggesting a gradual disinflation trend. The 12-month average Consumer Price Index (CPI) change stood at 26.58%, down from 30.00% in the previous period.

In its recently released Purchasing Managers’ Index (PMI) report for June 2025, the Central Bank of Nigeria (CBN) expressed concern that rising input costs across key sectors could trigger another round of consumer price inflation.

The bank warned that businesses struggling to absorb these cost pressures may pass them on to consumers, leading to further increases in the general price level.

The combination of elevated fuel prices, rising production costs, and regional disparities underscores the complex economic environment Nigerians continue to navigate, even as the government and private sector work to stabilize the market and curb inflation.