The Beninese economy is facing headwinds after next-door neighbour Nigeria scrapped petrol subsidy, followed by political unrest in Niger Republic, the International Monetary Fund has said.

Benin depends on Nigeria for most of its export and its economy is primarily based on informal trade with Nigeria.

The Beninese economy grew 6.3% in the first half of 2023. But smuggled petrol from Nigeria, a mainstay for the country, has risen 60% since Nigeria removed fuel subsidy in May, exerting inflationary pressure on the country’s economy.

“After strong performance in the first half of the year, the Beninese economy faces headwinds from Niger border closure amidst regional sanctions after the recent coup and higher prices of gasoline following pump price hikes in Nigeria,”
https://pluboard.com/2023/09/13/africa/imf-ties-beninese-economic-trouble-to-nigeria-and-niger/