Nigeria should stop depending on oil, gas revenues — WTO chief
The World Trade Organization chief has urged Nigeria to see alternative revenue sources as the oil and gas industry becomes less lucrative.
Speaking during a recent function in Abuja, Ngozi Okonjo Iweala, Director-General of the WTO, has advised incoming governors to stop depending on crude oil and diversify the sources of revenue in their domains. “We need to start preparing now for a time when our oil and gas will no longer serve us as the main sources of revenue. States with a heavy dependence on FAAC allocation will be particularly hit,” Okonjo-Iweala stated. She also emphasized the importance of doubling growth rates and sustaining higher growth to achieve upper middle-income status.
The upcoming launch of Dangote Group’s refineries in Nigeria offers hope for local refining and the conservation of foreign currency. Oil and gas would no longer be Nigeria’s primary sources of income, according to Okonjo Iweala. Her comments are in line with the current turn of events in Nigeria’s oil and gas sector, which has continually experienced a decline in its daily oil output for at least the past one year. By extension, the revenue generated from oil has also decreased, as crude oil theft and vandalism continue to pose an insoluble problem for the Nigerian government. As recently as a few days ago, the Organization of the Petroleum Exporting Countries (OPEC) reported that Angola has surpassed Nigeria to grab the top spot among oil-producing African countries.