Gbenga Komolafe, chief executive of the Nigerian Upstream Petroleum Regulatory Commission, announced an average output of 1.78 million barrels per day at a conference on Monday. As Africa’s largest oil producer, Nigeria depends on crude for nearly two-thirds of its government revenue and more than 80% of foreign currency earnings.
This heavy reliance makes increased oil production vital for stabilising the nation’s fragile economy amid ongoing financial pressures. Yet, the industry faces persistent challenges from widespread oil theft and years of underinvestment, which have stifled growth.
These setbacks have strained public finances, limiting the government’s ability to fund essential services and development projects.The recent production milestone offers a glimmer of hope, but Nigeria’s oil sector still battles deep-rooted issues threatening its full potential.
Experts urge urgent reforms and investment to secure steady production gains and economic recovery for the West African giant. Nigeria’s oil fortunes remain intertwined with national stability, making the sector’s revival a cornerstone for the country’s future prosperity.