Business
Concerns over new price of cooking gas
By Philippine Duru
philippineobetoduru@gmail.com
08034905774
Nigeria’s economic recovery efforts are facing renewed challenges as rising debt servicing obligations, persistent insecurity, governance concerns, and soaring cooking gas prices continue to place pressure on both government finances and household budgets.
While recent economic reforms have attracted investor interest and improved certain macroeconomic indicators, analysts warn that structural challenges remain significant and could undermine the country’s long-term growth prospects if not adequately addressed.
One of the most pressing concerns is the growing burden of debt servicing, which continues to consume a substantial portion of government revenues. Despite efforts by the Federal Government to improve revenue generation and fiscal discipline, debt repayment obligations have remained a major constraint on public spending.
Economic experts note that the high cost of servicing domestic and external debts leaves limited fiscal space for critical investments in infrastructure, healthcare, education, and social welfare programmes.
“The challenge is not necessarily the size of the debt alone, but the proportion of government revenue being devoted to servicing it,” said an Abuja-based economist. “When a significant share of earnings goes into debt repayment, fewer resources are available for developmental projects that can stimulate economic growth and job creation.”
The debt burden comes at a time when Nigeria is seeking to accelerate economic expansion, diversify exports, and attract greater foreign investment. Analysts argue that sustaining these objectives will require stronger revenue mobilisation efforts and prudent borrowing practices.
Beyond fiscal concerns, investors continue to cite insecurity as a major obstacle to economic development. Incidents of banditry, kidnapping, oil theft, communal conflicts, and attacks on farming communities have disrupted economic activities in several parts of the country.
The agricultural sector has been particularly affected, with insecurity limiting access to farmlands and reducing food production in some regions. The situation has contributed to food inflation and increased pressure on household incomes.
Business leaders have also expressed concerns that security challenges raise operating costs for companies, discourage investment, and hinder the movement of goods and services across the country.
Governance and corruption concerns remain another key issue highlighted by economic observers. While successive administrations have pledged to improve transparency and accountability, stakeholders argue that stronger institutions and more effective implementation of anti-corruption measures are needed to improve investor confidence and ensure efficient use of public resources.
According to analysts, addressing governance challenges could unlock significant economic potential by improving public service delivery, reducing waste, and encouraging greater domestic and foreign investment.
Meanwhile, consumers are grappling with a sharp rise in the cost of Liquefied Petroleum Gas (LPG), commonly known as cooking gas, which has become increasingly expensive across many parts of the country.
Market surveys indicate that cooking gas prices have climbed to as high as ₦2,400 per kilogram in some locations, forcing many households to cut consumption or seek alternative cooking methods. The increase has been attributed to a combination of supply chain constraints, foreign exchange pressures, transportation costs, and fluctuations in global energy markets.
The rising cost of cooking gas has sparked concerns among energy experts and consumer groups, who fear that more households may revert to firewood and charcoal, potentially reversing gains made in the adoption of cleaner cooking fuels.
For many families already struggling with high food prices, transportation costs, and electricity challenges, the increase in cooking gas prices represents another blow to household finances.
Energy analysts have called for measures to strengthen domestic LPG production and distribution networks to reduce dependence on imports and improve affordability. They argue that Nigeria’s vast natural gas reserves should position the country as a leading supplier of affordable cooking gas to its citizens.
Despite these challenges, economic experts remain cautiously optimistic about Nigeria’s long-term prospects. They point to ongoing reforms, increasing private sector investments, improvements in the oil and gas sector, and growing opportunities in technology and manufacturing as positive indicators.
However, they stress that sustained economic growth will depend largely on the government’s ability to reduce debt pressures, improve security, strengthen governance, and ease the cost-of-living burden facing millions of Nigerians.
As policymakers continue to pursue economic reforms, many stakeholders believe that addressing these structural challenges will be crucial to ensuring that the benefits of growth translate into improved living standards and greater economic stability for businesses and households alike.
By Philippine Duru
philippineobetoduru@gmail.com
08034905774
Nigeria has warned EgyptAir to modernise the aircraft deployed on its Nigerian routes, stressing that continued use of ageing planes could affect the airline’s operations in the country.
The Minister of Aviation and Aerospace Development, Festus Keyamo, gave the warning during a bilateral meeting with his Egyptian counterpart, Sameh El-Hefny, on the sidelines of the ongoing El-Alamein International Airshow (EIAS 2026) in Egypt.
According to a statement issued by Keyamo’s media aide, Tunde Moshood, the meeting focused on improving air connectivity between Nigeria and Egypt and strengthening cooperation between the two countries’ civil aviation authorities.
The discussions also covered the expansion of technical and professional capacity, as well as opportunities for greater collaboration among airlines, airports, regulators and other aviation stakeholders.
Keyamo specifically urged EgyptAir to deploy newer-generation aircraft on its Nigerian routes, rather than continuing with what Nigeria considers ageing aircraft.
“The minister also used the engagement to emphasise the need for a stronger and more modern fleet deployment by EgyptAir on its Nigerian routes,” Moshood said.
He said Keyamo urged the airline’s management to move away from the continued deployment of ageing aircraft and prioritise newer-generation aircraft in the Nigerian market.
According to the minister, fleet modernisation was essential to improving passenger experience, operational efficiency and the airline’s competitiveness.
Keyamo further stressed the strategic importance of Nigeria-Egypt aviation relations, noting that both countries occupy important positions within Africa’s aviation ecosystem.
He reaffirmed Nigeria’s commitment to expanding strategic international partnerships to improve air connectivity, promote tourism and trade, support airline growth and deliver greater value to passengers and the aviation industry.
The Nigerian delegation also expressed the country’s readiness to work with Egypt’s Ministry of Civil Aviation to identify areas of mutual cooperation, particularly within the framework of the Single African Air Transport Market (SAATM).
Responding, El-Hefny welcomed the engagement and reaffirmed Egypt’s commitment to deepening aviation cooperation with Nigeria.
He called for closer collaboration between the two countries to advance air transport development and strengthen links between their aviation industries.
The Egyptian minister also advocated stronger institutional cooperation between the African Civil Aviation Commission (AFCAC) and the League of Arab Civil Aviation (LACA).
“Enhanced collaboration between the two regional aviation bodies could promote stronger partnerships and facilitate greater cooperation among African and Arab States,” El-Hefny said.
The meeting ended with both ministers reaffirming their commitment to sustained dialogue, stronger institutional cooperation and initiatives aimed at delivering tangible benefits to the aviation sectors of Nigeria and Egypt.
Philippine Duru
philippineobetoduru@gmail.com
08034905774
Akwa Ibom State Governor, Umo Eno, has recounted his early experience in entrepreneurship, revealing that he once made not less than ₦10 million in a month from selling akara and bread.
Eno, who spoke while reflecting on his journey before entering public service, said the business experience played an important role in shaping his understanding of enterprise, hard work and wealth creation.
According to the governor, he started from a modest venture involving the sale of akara and bread before gradually expanding his business activities.
“I started selling akara and bread. I made not less than ₦10m in a month,” Eno said.
The governor’s account highlights the entrepreneurial path he pursued before rising through the ranks in business and eventually becoming governor of Akwa Ibom State.
Eno has frequently emphasised the importance of entrepreneurship and economic empowerment, particularly as a means of creating opportunities for young people and reducing dependence on government employment.
His recollection of the akara and bread business also underscored his view that small businesses, when properly managed and supported, can grow into significant sources of income and employment.
The governor’s comments come amid growing conversations around entrepreneurship, youth empowerment and the need to create sustainable livelihoods in Nigeria, where many young people are turning to small and medium-scale enterprises to earn a living.
Eno has continued to advocate policies and initiatives aimed at expanding economic opportunities and encouraging residents to become self-reliant through productive ventures.
His story of moving from selling akara and bread to occupying the highest political office in Akwa Ibom has also been presented as an example of how entrepreneurship, persistence and business experience can shape an individual’s journey to leadership.
The Nigerian Exchange Limited (NGX) rebounded last week, with the All-Share Index (ASI) gaining about 0.81 per cent to close at 241,298.47 points, as renewed investor interest in oil and gas and banking stocks lifted market sentiment.
The week’s gain translated into an estimated ₦1.29 trillion increase in market capitalisation, pushing the value of listed equities to about ₦155.83 trillion.
With the latest appreciation, the NGX’s year-to-date return remained strong at approximately 55 per cent, underscoring the market’s substantial gains despite intermittent periods of profit-taking and volatility.
The recovery was largely driven by buying interest in oil and gas and banking stocks, with Seplat Energy among the notable gainers during the week.
Market sentiment also received a boost from developments in Nigeria’s international financial-market standing. FTSE Russell confirmed the country’s reclassification to Frontier Market status, effective September 21, 2026, a move expected to influence international investor positioning toward Nigerian equities.
Further support came from Moody’s decision to revise Nigeria’s outlook to positive, reinforcing expectations that ongoing economic and fiscal reforms could improve the country’s credit profile.
Despite the positive performance, trading activity was relatively subdued, partly reflecting the shortened trading week. Market volume declined as investors adopted a more cautious approach amid prevailing economic uncertainties and profit-taking pressures.
Analysts said the latest rebound highlights continued investor appetite for fundamentally strong sectors, although the sustainability of the market’s upward trajectory will depend on macroeconomic conditions, corporate earnings, foreign investor participation and policy developments.
As investors enter a new trading week, attention is expected to remain on the performance of banking and energy stocks, while the implications of Nigeria’s forthcoming Frontier Market reclassification could further shape sentiment and capital flows into the equities market.
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