By Olakunle Oke
Nigeria’s crude oil exports plummeted by N3.18 trillion in the first half of 2025, sparking fresh concerns about the country’s reliance on oil as a primary revenue source.
This significant drop is largely attributed to the increased domestic refining capacity of the Dangote Refinery, which has reduced the amount of crude available for international export.
According to the National Bureau of Statistics (NBS), crude oil’s share of total exports fell sharply from 71.2% in Q2 2024 to 52.6% in the same period of 2025.
Despite the setback in oil revenue, non-oil exports have seen a substantial rise, now accounting for 41% of total exports. This surge has effectively cushioned the impact of the oil downturn and contributed to a 10.5% increase in Nigeria’s total exports.
The development signals a major shift in the nation’s trade structure and a positive step toward economic diversification.
Analysts note that Nigeria’s oil production has been contending with global competition, theft, and domestic policy shifts.
The Petroleum Industry Act (PIA) is also playing a key role in reshaping the sector by promoting local content, transparency, and partial privatization.
The transition highlights an industry at a crossroads, moving away from its long-held dominance toward a more diversified economic future.