Renowned economist and Managing Director of Financial Derivatives Company Limited, Bismark Rewane, has predicted a significant drop in the pump price of diesel starting from May, attributing it to the commencement of diesel production at the Dangote Refinery.

Speaking during an appearance on Channels TV’s news bulletin, Rewane projected that the price of diesel per litre would plummet below N1,000, a significant reduction from the current rate of N1,500.

Highlighting the potential positive impact, Rewane noted that the anticipated price decrease would benefit various sectors, including bakers and cement makers, who heavily rely on diesel in their production processes.

He elaborated, “Dangote refinery has already started putting diesel in the market and people are buying that. If it stays at N1,100 and continues to go in that direction, this will help to bring down inflation significantly… diesel prices will fall further below 1,000 naira, thanks to Dangote.”

Rewane emphasized the positive implications for sectors such as bakers and cement manufacturers, whose operations depend on diesel as a primary energy source.

“The bakers for one because they are funding their furnaces and their ovens with diesel, you are gonna see that improve. So for cement manufacturers and bakers, this is good news.”

The economist’s prediction comes amid ongoing efforts by the administration led by President Bola Tinubu to revitalize the country’s economy and foster sustainable growth.