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Fuel Price Hike: How Fuel Price Hike Drives Nigerian Real Estate

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By Dennis Isong

In recent times, Nigeria has witnessed fluctuations in fuel prices, sparking debates and concerns across various sectors of the economy.

While the impact of rising fuel costs is generally seen as negative, there is a unique silver lining for the real estate industry. Surprisingly, the fuel price hike can favor real estate investment in Nigeria in several ways.

This article explores the connections between fuel price increases and real estate investment opportunities, shedding light on the potential benefits for savvy investors.

Diversification of Investment Portfolio

Real estate has always been considered a stable and relatively low-risk investment option. As fuel prices rise, other forms of investments, such as transportation and manufacturing, might experience slowdowns.

This prompts investors to diversify their portfolios and turn their attention to real estate.

The perceived stability and potential for long-term gains in the property market become particularly attractive during times of economic uncertainty.

With the cost of commuting becoming a concern, people are drawn to live in areas where they can work, shop, and unwind without extensive travel

Shift in Investment Focus

Higher fuel prices often lead to a shift in preferences among consumers and businesses. As transportation costs rise, there is a growing demand for properties located closer to city centers and commercial hubs. This demand shift can drive up property values in such areas, making real estate investment in these prime locations more lucrative.

Urbanization and Rental Demand

Urbanization is a growing trend in Nigeria, with more people moving to cities in search of better job opportunities and improved lifestyles.

The fuel price hike can accelerate this trend as commuting becomes costlier. Consequently, the demand for rental properties in urban centers is likely to rise, offering real estate investors a steady stream of rental income.

Infrastructure Development

Governments often respond to fuel price increases by redirecting funds towards infrastructure development projects, such as road expansions and public transportation enhancements.

These improvements can increase the overall desirability of certain neighborhoods, leading to increased property values. Savvy investors who identify these emerging trends can capitalize on the potential appreciation of property prices in areas targeted for infrastructure upgrades.

Long-Term Investment Potential

Real estate investment is inherently a long-term endeavor. While fuel prices may experience fluctuations over the short term, the property market tends to appreciate over time.

Investors who can weather short-term economic challenges brought about by fuel price hikes are likely to benefit from the long-term value appreciation of their real estate assets.

Inflation Hedge

Rising fuel prices often coincide with inflationary pressures. Real estate has historically served as a hedge against inflation, as property values and rental incomes tend to rise with the cost of living. This makes real estate an attractive option for investors seeking to preserve and grow their wealth during periods of economic uncertainty.

Demand for Mixed-Use Developments

Rising fuel prices can lead to a growing desire for convenience and efficiency. This paves the way for the emergence of mixed-use developments that combine residential, commercial, and recreational spaces within the same vicinity.

With the cost of commuting becoming a concern, people are drawn to live in areas where they can work, shop, and unwind without extensive travel.

Real estate developers who recognize this trend can capitalize on the demand for mixed-use properties, creating vibrant and self-contained communities that cater to various needs.

Foreign Investment and Economic Diversification

Higher fuel prices can stimulate foreign investment in Nigeria’s real estate sector. As global investors seek alternative avenues for capital allocation, a well-regulated and promising real estate market can catch their attention.

Increased foreign investment not only injects capital into the local economy but also contributes to economic diversification.

This, in turn, can create jobs, stimulate economic growth, and lead to positive ripple effects across various industries.

Value-Add Opportunities

Real estate investors can take advantage of fuel price hikes to identify value-add opportunities within the market.

Properties that were previously overlooked due to their location or condition might become more attractive when transportation costs rise.

By strategically renovating, repositioning, or repurposing such properties, investors can unlock their true potential and capitalize on the changing market dynamics.

Government Policy and Support

Governments often respond to fuel price hikes by introducing policies that promote economic stability. In some cases, these policies can include incentives for real estate development and investment.

Such incentives could include tax breaks, subsidies, or streamlined permitting processes. Real estate investors who stay informed about government initiatives and take advantage of available support mechanisms can position themselves for success in a changing economic landscape.

Alternative Investment Vehicles

As fuel prices increase, individuals and institutions may seek alternatives to traditional investments that are directly affected by these fluctuations.

Real estate investment trusts (REITs), crowdfunding platforms, and real estate-focused mutual funds provide avenues for investors to participate in the property market without owning physical properties. These alternative investment vehicles can offer diversification and liquidity while tapping into the potential benefits of real estate during periods of fuel price volatility.

▪︎Dennis Isong is a TOP REALTOR IN LAGOS.He Helps Nigerians in Diaspora to Own Property In Lagos Nigeria STRESS-FREE. For Questions WhatsApp/Call 2348164741041

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Atiku Backs Suspension of new tax framework , following unconstitutional forgery

This constitutional violation exposes a troubling reality: a government obsessed with imposing ever-increasing tax burdens on impoverished Nigerians rather than creating conditions for prosperity.

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Atiku Abubakar, ex- Vice President of Nigeria (1999-2007) has strengthened the public calls for the suspension of the Federal Government’s new tax laws following the discovery of illegal and unauthorized alterations made to document after passage by the National Assembly.

Atiku, in a statement he signed personally on Tuesday, asserted “What the National Assembly did not pass cannot become law.”

Atiku described the forgery of the tax law as “a brazen act of treason against the Nigerian people and a direct assault on our constitutional democracy.”

The statement reads: “This draconian overreach by the executive branch undermines the foundational principle of legislative supremacy in the making of laws.

It reveals a government more interested in extracting wealth from struggling citizens than empowering them to prosper.

The Unconstitutional Alterations

The following substantive changes were allegedly illegally inserted into the tax bills after parliamentary approval, in clear violation of Sections 4 and 58 of the 1999 Constitution:

1. New Coercive Powers Without Legislative Consent

*Arrest powers granted to tax authorities

*Property seizure and garnishment without court orders

*Enforcement sales conducted without judicial oversightThese provisions transform tax collectors into quasi-law enforcement agencies, stripping Nigerians of due process protections that the National Assembly deliberately included.

2. Increased Financial Burdens on Citizens*Mandatory 20% security deposit before appealing tax assessments*Compound interest on tax debts*Quart

erly reporting requirements with lowered thresholds

*Forced USD computation for petroleum operations

These changes erect barriers that prevent ordinary Nigerians from challenging unjust assessments while increasing compliance costs for businesses already struggling in a difficult economy.

3. Removal of Accountability Mechanisms

*Deletion of quarterly and annual reporting obligations to the National Assembly

*Elimination of strategic planning submission requirements

*Removal of ministerial supervisory provisions

By stripping away oversight mechanisms, the government has insulated itself from accountability while expanding its powers—a hallmark of authoritarian governance.

A Government Against Its People

This constitutional violation exposes a troubling reality: a government obsessed with imposing ever-increasing tax burdens on impoverished Nigerians rather than creating conditions for prosperity.

Instead of investing in infrastructure, education, healthcare, and economic empowerment that would expand the tax base organically, this administration chooses the path of aggressive extraction from an already struggling populace.

Nigeria’s poverty rate remains alarmingly high, unemployment continues to devastate families, and inflation erodes purchasing power daily.

Yet rather than supporting citizens to become more productive, thereby generating sustainable tax revenues, the government employs draconian measures to squeeze resources from people who have little left to survive.

True economic growth comes from empowering citizens, not impoverishing them further through punitive taxation and erosion of legal protections.

A thriving economy with prosperous citizens naturally generates robust tax revenues. But this requires vision, investment, and patience, qualities evidently lacking in an administration that resorts to constitutional manipulation to achieve short-term fiscal goals.

I hereby call upon:1. The Executive to immediately suspend the implementation of the tax law effective January 1, 2026 to give room for a proper investigation.

2. The National Assembly to immediately rectify these illegal alterations through proper legislative processes and hold accountable those responsible for this constitutional breach.

3. The Judiciary to strike down these unconstitutional provisions and reaffirm the sanctity of the legislative process.

4. Civil Society and all Nigerians to reject this assault on democratic principles and demand governance that serves the people rather than exploiting them.

5. The Government to abandon this path of extraction and oppression, and instead focus on policies that enable Nigerian citizens and businesses to thrive.

6. The EFCC to immediately investigate and prosecute those found culpable in the illegal alteration of our laws to extort and defraud the Nigerian people.

What the National Assembly did not pass cannot become law.

This fundamental principle must be defended, or we risk descending into arbitrary rule where constitutional safeguards mean nothing.

The Nigerian people deserve better than a government that circumvents democracy to impose hardship.

We demand accountability, constitutional compliance, and economic policies that build prosperity rather than deepen poverty.”

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FIRS says NIN to serve as Tax ID for individuals

The new tax law is scheduled to come into force in January 2026 and mandates the use of a Tax ID for certain financial and economic transactions, including banking-related activities.

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The Federal Inland Revenue Service (FIRS) has announced that the National Identification Number (NIN) issued by the National Identity Management Commission (NIMC) will now automatically serve as the Tax Identification Number (Tax ID) for individual Nigerians under the country’s new tax regime.

FIRS also said that registered businesses will also no longer need a separate Tax Identification Number, as their Corporate Affairs Commission (CAC) registration (RC) number will now function as their Tax ID.

The Service made the disclosure on its official X handle on Monday, ahead of the passage of the Nigeria Tax Administration Act (NTAA), one of the new tax laws introduced as part of the Federal Government’s broader fiscal and tax reform agenda .

The new tax law is scheduled to come into force in January 2026 and mandates the use of a Tax ID for certain financial and economic transactions, including banking-related activities.

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Tanker crushes Akpabio’s dispatch rider to death

We went to Oyo State for the installation of our colleague, but the vehicles that came to pick me up at the Ibadan airport, unfortunately, my dispatch rider was run over by a tanker driver, and his head was shattered.

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Ibrahim Hussaini, a dispatch rider attached to the convoy of Godswill Akpabio, the Senate President, has been killed after a petrol tanker rammed into the motorcade.

Although the Senate President did not state the precise location of the crash, he said that it happened in Ibadan, Oyo State, shortly after members of his convoy picked him up from the Ibadan Airport.

Akpabio announced the death during the plenary on Tuesday; he extended condolences to the family of the deceased.

Dispatch riders, who are police officers, form part of the security detail of top government officials and typically escort convoys on motorcycles.

Dispatch riders, who are police officers, form part of the security detail of top government officials and typically escort convoys on motorcycles.

“We went to Oyo State for the installation of our colleague, but the vehicles that came to pick me up at the Ibadan airport, unfortunately, my dispatch rider was run over by a tanker driver, and his head was shattered.

“We just buried him 15 minutes ago in Kogi State. He left two wives and four children,” the Senate President told lawmakers

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