As the tension between Iran and The United States Of America increases, following the assassination of top Iranian General last Friday, the rise of the global benchmark Brent has soared beyond $70 per barrel, which for the first time prices have hit that amount in more than six months.
International relations experts have said that the most effective impact of General Qasem Souleimani’s death so far is the increased prices in the sales of crude which is advantageous to Nigeria.
Nigeria’s current budget was theorized on daily oil production of 2.18 million barrels benchmark at $57 per barrel. Also the country’s crude is priced against Brent which has risen by over 5 per cent since Friday, in other words, the degenerating state of security in the gulf region could be a blessing in disguise for Nigeria.
Henry Ogunjewo, who is an international relations expert stated, ”Nigeria is already benefiting from the crises because oil prices have increased and we won’t be surprised if some top Officials start earning more as a result of this.
We hope the government takes advantage of this rise in crude oil prices by saving as against going on a spending spree.