"Prices are beginning to rise in the international market and has remained stable in the domestic market for LPG in the immediately preceding week "

• • International prices of LPG started on a rising note in the week under review and remained high throughout the week.
• • We find only a slight rise in depot price in response to the rise in prices internationally.
• • Prices per kg of LPG at the depots in Nigeria are still well over double the prices at the international market.
• • Regional disparities in the retail prices of LPG within the country continue to persist.

Regional disparity in the prices of LPG across the country has been a regular feature of the Nigerian LPG market. Though the South-south geopolitical zone hosts the great majority of depots in the country due to its proximity to the ocean, prices have been highest in the region.

• • The exchange value of the naira to the US. $ was remained stable throughout the week (Figure D).
• • Like the previous week, the foreign reserve is experiencing a continued rise in the week under review.
• • The rise in the reserve has implications for the value of the naira in the days and weeks to come and in turn the landing cost of LPG to Nigeria.
• • The composite Purchasing Managers’ Index (PMI) for the month March 2020 stood at 49.2 points, indicating contraction in Non-manufacturing PMI for the first time after thirty-four consecutive months of expansion.
• • For the gas market, managers report declining inventory, new orders and employment.
• • The recently announced 1.8% growth rate for Q1 2020 will boost, at least, temporarily, the confidence of investors and market players of the viability of the Nigerian market.
• • Fluctuations in the prices of crude oil in the international market were not very severe in the week under review. (Figure E)

• • Price stability will remain firmed up as Nigeria's reserve continues to steadily rise.
• • A potential continuous stabilization in the value of the naira might signal stability in domestic LPG prices particularly if oil prices in the international market continue to drop.