By using this site, you agree to the Privacy Policy and Terms & Conditions.
Accept
Okay.ngOkay.ngOkay.ng
Font ResizerAa
  • News
    • Politics
  • Entertainment
  • Business & Economy
  • Sport
  • Tech
Reading: Trump’s Energy Policy Poses Critical Threat to Nigeria’s Oil-Dependent Economy
Share
Font ResizerAa
Okay.ngOkay.ng
  • News
  • Entertainment
  • Business & Economy
  • Sport
  • Tech
Search
  • News
    • Politics
  • Entertainment
  • Business & Economy
  • Sport
  • Tech
Follow US
  • About Okay.ng
  • Advertising on Okay.ng
  • Contact Okay.ng
  • Careers
  • Meet the Team behind Okay.ng
  • Ownership and Funding of Okay.ng
  • Editorial Principles at Okay.ng
© OKN MEDIA PUBLISHING 2022 - All rights reserved
Energy & OilTop stories

Trump’s Energy Policy Poses Critical Threat to Nigeria’s Oil-Dependent Economy

Genesis Obong
By Genesis Obong
Published: January 22, 2025
Share
3 Min Read
SHARE

A sobering report from SB Morgen Intelligence reveals that former U.S. President Donald Trump energy policy could severely destabilize Nigeria’s economy, threatening the fiscal foundation of Africa’s largest oil producer.

The comprehensive analysis, titled “The Ripple Effect: How Trump’s Policies will Impact Africa,” warns that Nigeria’s ambitious $75-per-barrel oil price target for its 2025 budget faces significant headwinds amid Trump’s “Drill, baby, drill” strategy.

“The implications for Nigeria are particularly concerning,” says a senior economist at SB Morgen Intelligence. “With 90% of national revenue tied to oil exports, Trump’s pledge to flood global markets with American oil creates an unprecedented vulnerability in Nigeria’s financial architecture.”

The potential impact extends far beyond immediate revenue concerns. According to Cardinalstone, a leading investment firm, Nigeria’s debt burden is projected to reach a staggering N187 trillion this year. This fiscal pressure could intensify if oil prices decline, forcing the government to seek additional borrowing at higher interest rates.

- Advertisement -

Read Also;

Trump Signs Order to Pull US Out of WHO

“We’re looking at a potential perfect storm,” warns a financial analyst at Cardinalstone. “Lower oil revenues combined with increased borrowing costs could create a devastating cycle of fiscal instability.”

The report highlights several critical areas of concern:

- Advertisement -

– Budget Sustainability: The 2025 national budget’s reliance on optimistic oil price projections appears increasingly precarious

– Public Services: Essential government services, including public sector wages and social programs, face potential funding cuts

– Economic Inequality: Poorer states might experience disproportionate impacts from reduced federal allocations

– Debt Servicing: Higher borrowing costs could strain Nigeria’s ability to meet existing financial obligations

The ripple effects of Trump’s energy policy could extend beyond the oil sector, potentially triggering broader economic challenges. “When oil revenues decline, the impact reverberates through every sector of the Nigerian economy,” the SBM Intel report emphasizes.

Read Also:

Nigeria to Spearhead African Oil Production Surge in 2025 – AEC Outlook

International energy experts suggest that Nigeria must accelerate economic diversification efforts to reduce its vulnerability to external oil market pressures. This situation underscores the urgent need for structural reforms in Africa’s largest economy.

As global energy markets brace for potential upheaval, Nigeria’s economic planners face the challenging task of navigating these uncertainties while maintaining fiscal stability and protecting vital social programs.

Stay Updated on the Go with Our Latest News—Join Our WhatsApp Channel Now!
TAGGED:fiscal stabilityNigeria economyOil PricesTrump energy policy
Share This Article
Facebook Whatsapp Whatsapp Telegram Email Copy Link Print
ByGenesis Obong
Follow:
Genesis Obong is a Journalist with relevant experience in Business, Finance and Economic matters in Nigeria and across the West African space.
Previous Article Speed Darlington Freed After Two Months in Detention
Next Article Angola Holds Interest Rates Amid Cooling Inflation

Connect with Okay on Social

FacebookLike
XFollow
InstagramFollow
TelegramFollow

Dollar/Naira Rates

Dollar to Naira Exchange Rate

Okay.ng Logo
Buy Rate ₦1,605.00
Sell Rate ₦1,620.00

Last updated: 3 weeks ago (June 3, 2025 2:33 pm)

Displayed rates are for informational purposes only and are subject to change.

USD/NGN Converter

- Advertisement -
- Advertisement -
Ad imageAd image
- Advertisement -
Ad imageAd image

Recent Posts

BREAKING: President Tinubu Endorses Four Major Tax Reform Bills
News Top stories
Lagos State Government
Lagos State Government Refutes Peter Obi’s Allegation of Property Demolition, Orders Probe
News
Oyo State Governor Seyi Makinde Renames Polytechnic Ibadan in Honour of Late Dr. Omololu Olunloyo
News
BREAKING: President Tinubu Withholds Assent to NDLEA Bill Over Proceeds Clause
News
BREAKING: High Court in Lafia Sentences Timileyin Ajayi to Death for Killing Corps Member
News
- Advertisement -
Ad imageAd image

You May Also Like

PoliticsTop stories

Barau Jibrin Pledges Unwavering Support for President Tinubu on 2027 Election Decisions

Oluwadara Akingbohungbe
Oluwadara Akingbohungbe
June 26, 2025
News

Ogun State Chief Judge Urges Lawyers to Prioritize Human Rights Over Tradition

Oluwadara Akingbohungbe
Oluwadara Akingbohungbe
June 26, 2025
Nigeria Police - file photo
Crime

Police Launch Manhunt After Female Farmer Found Dead in Ondo State

Oluwadara Akingbohungbe
Oluwadara Akingbohungbe
June 26, 2025
Okay.ngOkay.ng
Follow US
© OKN MEDIA PUBLISHING 2025 - All rights reserved
  • About Okay.ng
  • Advertising on Okay.ng
  • Contact Okay.ng
  • Careers
  • Meet the Team behind Okay.ng
  • Ownership and Funding of Okay.ng
  • Editorial Principles at Okay.ng
adbanner
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?