Subscribe via email
Nigeria's state-oil company said on Wednesday it was owed $7 billion in government fuel import subsidies, debts which would wipe out savings supposed to protect Africa's second biggest economy from oil price dips.
Nigeria's Excess Crude Account (ECA), where it saves oil revenues over a benchmark price of $72 a barrel, held $6.9 billion on July 19, not enough to pay NNPC's subsidy claims, let alone a string of other fuel importers' debts.
Nigeria's Central Bank Governor Lamido Sanusi said on Tuesday risks to Africa's second biggest economy from high government spending, worsening security problems and lower oil output were "ominous."
"As at the end of May 2012 NNPC had unpaid (subsidy) claims of 1.134 trillion naira ($7.06 billion)," Fidel Pepple, spokesman for the Nigerian National Petroleum Corp (NNPC), said
Two fuel import unions have threatened to strike this week over unpaid subsidies, risking fuel shortages in Africa's most populous nation, an issue which has prompted public protests in the past.
Source: Reuters
Subscribe to:
Post Comments
(Atom)
Social Profiles
    
|
Find us on Facebook
|
|
Blueblock in +659 Circles →
|
Translate
Popular Posts
- Eni makes first big oil discovery - Ghana
- $9bn Oil Revenue Unremitted to Govt, Says Asobie
- Brazil Ethanol Mills to Be Overseen by Oil Regulator ANP
- Understanding 'Indemnities' in Oil & Gas Agreements
- Tanzania Permit Regulation, BG Group, Statoil says they are compliant
- (no title)
- French Oil Giant Total to spend $650million in Uganda
0 comments:
Post a Comment