The Independent Petroleum Marketers Association of Nigeria (IPMAN) has revealed that the price of Premium Motor Spirit, popularly known as fuel, would continue to increase as long as the US Dollar rose in the foreign exchange market.
In a recent interview, the National President of the association, Chinedu Okoronkwo, noted that fuel prices will soar if the dollar keeps rising in the forex market.
His words:
“Nigerians should understand that with fuel subsidy removal, the government is no longer determining pump prices but the market forces.
“The product is bought in dollars. The dollar is around 890/$1 now. As the dollar climbs, fuel pump prices will continue to go up.”
As a solution, he urged the government to double up efforts to make Compressed Natural Gas available for Nigerians.
Politics Nigeria learnt that Naira dropped further to the dollar, exchanged at N782.38/$1 on Wednesday at the official market. But, at the parallel market dollar is enchanted at 910/$1.
Consequently, the pump price of the product is expected to exceed N617/per litre.
