Nigeria Economic Update, Issue 25

The National Bureau of Statistics' (NBS) Liquefied Petroleum Gas (LPG) Price Watch report for May 2025 revealed that the average retail price for refilling a 5kg Cylinder of Liquefied Petroleum Gas (Cooking Gas) rose month-on-month by 3.57%, climbing from ₦7,885.60 in April 2025 to ₦8,167.43 in May 2025. Compared to the same period last year, the price surged by 10.10%, up from ₦7,418.45 in May 2024. A closer look at the state-level average price for refilling a 5kg cylinder of LPG highlights notable disparities, as Abia recorded the highest average price at ₦9,181.20, closely followed by Ebonyi and Rivers states, with prices of ₦9,177.32 and ₦9,174.40, respectively. Conversely, Oyo state offered the most affordable price at ₦7,116.49, with Niger and Plateau states also among the lower-priced states at ₦7,142.07 and ₦7,177.10, respectively. When analysed by geopolitical zones, the South-South zone recorded the highest average retail price (₦8,760.51), followed by the South-East at ₦8,724.70. The North-Central zone reported the lowest average price at ₦7,759.38. Rising LPG prices add to the cost-of-living crisis, which can further deteriorate the welfare of citizens. Hence, there is a need to make LPG more affordable for Nigerian households. To do this, the government needs to invest in domestic refining and natural gas processing to reduce reliance on imports, which helps stabilise prices