ABUJA, NIGERIA – The World Bank has quietly removed from its website a policy recommendation that urged Nigeria to reopen its petrol market to imports – a rare retreat after a furious backlash from Africa’s richest man, Aliko Dangote.
The original April 2026 Nigeria Development Update recommended that the government allow qualified marketers to resume importing petrol. The report argued that the current policy, which stopped issuing import licenses earlier this year, had killed competition and allowed local prices to exceed import-parity levels by roughly 12%.
But Dangote Industries, whose $20 billion refinery now dominates Nigeria’s fuel supply, quickly condemned the analysis as “fundamentally flawed.” In a sharp rebuttal, the company’s chief economist, Mahmud Hassan, accused the Bank of making a sweeping policy prescription without understanding local realities.
“When you are going to make a policy recommendation in one sentence, you need to be very careful with the language you use,” Hassan told ‘The Africa Report’.
By the end of the week, the World Bank had pulled the original document. In its place, the Bank issued a shorter, more cautious note – still defending competition in principle, but with heavy qualification. Any move toward a competitive retail market, the Bank now says, must be “well-sequenced” and must safeguard product standards and fuel supply security.
According to ‘The Africa Report’ , World Bank has not responded to questions on why the original report was withdrawn.
Standards vs. prices – the real fight
At the heart of this battle is a fundamental policy question for Nigeria’s downstream oil sector: should the government protect its nascent domestic refining capacity as a strategic asset, or risk reopening the market to imports to drive down prices?
For Dangote, the answer is clear – and it’s not just about money.
Hassan argued that the World Bank’s model assumes a level playing field where fuel quality is monitored and all players follow the same rules. Nigeria, he said, is not that market.
“Competition must be where information is symmetric, where the standards are generalized. Everyone must meet the required standard,” Hassan said. “You will not open the market for toxic items to come to Nigeria just because of price competition.”
If local refiners produce higher-spec fuel while imported cargoes face looser oversight, he warned, cheaper imports could mask weaker environmental and safety standards – harming consumers and public health.
Security over savings
Dangote also disputes the Bank’s 12% pricing gap calculation, calling it too thin to capture volatile freight, insurance, and crude-supply costs during the ongoing Middle East crisis.
Beyond the numbers, the group is making a broader strategic case: that Nigeria should not rebuild reliance on foreign supply chains just as it finally has a domestic refinery capable of serving the entire West African coast.
“It’s better to get enough supply security at whatever price, than get nothing at zero price,” Hassan told the ‘The Africa Report’.
For now, the World Bank has stepped back – but the underlying tension remains. And with Nigeria’s inflation still running hot, the pressure to lower fuel prices is unlikely to disappear.
This story is developing. NEWSFOCUS will continue to track whether the Bank re-issues its recommendation – and whether Abuja chooses competition or self-reliance.
