Brent is currently trading at $59pb, 3.5% higher than the budget benchmark of $57pb. The weekly trend has been largely positive owing to supply shortages from Libya and the US sanctions on Russia’s oil firm, Rosneft.
If prices remain elevated, Nigeria’s oil revenue could increase in the near term. This would offer some relief to Nigeria’s bleeding external reserves and falling FAAC allocation.
In the slides, these issues were broken down by analysts at the FDC Think Tank on Channels TV Business Morning programme today.