Nigeria's new vehicle sales are projected to expand by 7.6% in 2026, driven by improved fuel availability and lower operating costs stemming from the Dangote Refinery's operations, according to a forecast by BMI Research.
The research firm attributes the growth to the refinery's ability to stabilize domestic fuel supply, which has historically been a bottleneck for logistics and consumer spending in Africa's largest economy.
The Dangote Refinery, with a proposed valuation of $40 billion, is central to these efforts, aiming to reduce the country's reliance on imported petroleum products.
Lower fuel prices reduce the total cost of ownership for vehicles, encouraging both private and commercial buyers to enter the market.
This positive outlook for the automotive sector aligns with broader economic stabilization efforts in Nigeria.
The Dangote Refinery, with a proposed valuation of $40 billion, is central to these efforts, aiming to reduce the country's reliance on imported petroleum products.
The facility's full operational capacity is expected to have a multiplier effect on downstream industries, including transportation and manufacturing.