Nigeria’s crude oil export earnings declined by 14.4 percent to $31.54 billion in 2025, despite recording higher crude oil production during the year, highlighting the country’s continued vulnerability to weaker international oil prices and persistent operational challenges.
- +Nigeria’s crude export earnings fall 14% despite higher oil output
Data from the Central Bank of Nigeria’s (CBN) 2025 Balance of Payments (BoP) Report showed that crude oil export receipts declined from $36.85 billion in 2024 to $31.54 billion in 2025, even as crude production rose significantly over the period.
Data from the Central Bank of Nigeria’s (CBN) 2025 Balance of Payments (BoP) Report showed that crude oil export receipts declined from $36.85 billion in 2024 to $31.54 billion in 2025, even as crude production rose significantly over the period.
The decline highlights the limitations of increasing output alone in boosting export revenues, as softer global crude prices and production disruptions continued to weigh on Nigeria’s foreign exchange earnings.
The lower oil receipts also affected the country’s external position, with Nigeria’s current account surplus narrowing to $14.04 billion in 2025 from $19.03 billion recorded the previous year.
According to the CBN, weaker proceeds from crude oil exports were a major factor behind the moderation in the current account balance.
Industry data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) revealed that crude oil production rose to 530.41 million barrels in 2025, up from 408.68 million barrels in 2024.
However, the increase in production failed to translate into higher export earnings. Nigeria continued to grapple with pipeline outages, operational disruptions, and production losses, which prevented it from consistently meeting the Organization of the Petroleum Exporting Countries (OPEC) production quota.
Combined with weaker benchmark crude prices, these challenges reduced the value of the country’s crude exports despite higher output volumes.
The figures reinforce the pressure on Nigeria’s oil-dependent economy, where crude exports remain the largest source of foreign exchange earnings.
The broader oil and gas sector posted a stronger export performance during the year, reflecting the growing contribution of gas and domestic refining.
According to the CBN, total oil and gas exports increased to $48.17 billion in 2025 from $45.51 billion in 2024, driven by stronger gas exports and increased shipments of refined petroleum products.
Gas export earnings rose by more than 21 percent, while refined petroleum exports strengthened as domestic refining capacity expanded, partially offsetting the decline in crude oil receipts.
Lower crude export earnings also have wider economic implications. Reduced oil revenues could constrain government spending on infrastructure and capital projects.
At the same time, lower foreign exchange inflows may increase pressure on the naira, raising the cost of imported industrial inputs and construction materials.
The latest data suggested that sustaining export earnings will require not only higher crude production but also greater value addition through domestic refining, expanded gas exports and broader diversification of the economy.
