International oil benchmark, Brent crude, on Monday hit $75 per barrel and rose further amid growing geopolitical tensions in the world.
Brent, against which Nigeria’s crude oil is priced, stood at $75.16 per barrel as of 8:15pm Nigerian time, while the United States’ marker, West Texas Intermediate, traded around $68.36 per barrel.
The rise in oil prices means further accretion to the nation’s Excess Crude Account, into which the difference between the market price of oil and the budget benchmark is saved to provide a cushion when oil prices fall or extra cash is needed for spending on infrastructure.
The 2018 budget proposal, submitted by President Muhammadu Buhari in November 2017, put the benchmark oil price at $45 per barrel, compared to $44.5 per barrel for the 2017 budget.
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