Follow Us on Google
Merit ibe
The Nigerian Association of Chambers of Commerce, Industries, Mines and Agriculture (NACCIMA) and the Lagos Chamber of Commerce and Industry (LCCI) have expressed worry over the recent increase of the ex-depot price of Premium Motor Spirit by the Petroleum Products Marketing Company, to N155.17 per litre from N147.67 per litre, calling on government to support the real sector to increase investment in mass transit systems while accelerating the power sector recovery programme.
The Director General of NACCIMA, Amb. Ayo Olukanmi, noted that when viewed in isolation, this increase could be considered as a move to ensure that prices of petroleum products reflect market realities. However, considering the rising unemployment (over 21million people unemployed as at Q2, 2020), rising food prices, (16.7 per cent on a year-on-year basis, as at September), and an economy in decline (GDP growth rate of negative 6.1 per cent as at Q2, 2020), further exacerbated by the closure of land borders and an increase in electricity tariffs; it is clear that an increase in pump prices of petrol (a major source of energy needs of the population) would increase the cost of production for the real sector.
He said, in turn, the increased cost of production would be passed to the consumers who have seen their purchasing power eroded.
