PRESS RELEASE CRMI Alerts Stakeholders to Geo-Economic Risks Following UAE’s Exit from OPEC
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The Chartered Risk Management Institute of Nigeria (CRMI) has issued a Policy Advisory in response to the United Arab Emirates’ (UAE) decision to exit the Organization of the Petroleum Exporting Countries (OPEC), effective May 1, 2026.
This is contained in a statement signed by the Registrar /CEO
Chartered Risk Management Institute of Nigeria (CRMI), Mr Victor Olannye.
According to him “ This landmark development signals a significant shift in global oil governance, potentially leading to increased market volatility, geopolitical tensions, and energy supply chain disruptions. CRMI advises corporate members, public sector institutions, financial institutions, and individual risk professionals to reassess their risk management strategies and strengthen institutional resilience.”
Mr Olannye, Ph.D., highlighted Key Risks to include
Structural breakdown of OPEC’s cohesion Oil price volatility
Geopolitical instability
Energy supply chain disruptions Macroeconomic uncertainty
Contagion risk of other member states exiting OPEC
Implications for Nigeria according to the Registrar include Increased production flexibility, potential market share expansion, and enhanced revenue prospects.
On Risks: Exposure to price volatility, reduced supply management protection, heightened competition, and fiscal instability.
He highlighted Policy Directives to Corporate Organizations to ensure they Implement robust risk management frameworks, adopt dynamic hedging strategies, and diversify business portfolios while calling on Financial Institutions and Investors to Reassess energy-related risks, strengthen portfolio diversification, and enhance risk disclosure
He called on Public Sector and Policymakers to Strengthen fiscal buffers, accelerate economic diversification, and promote renewable energy transition
For Individual Risk Professionals, the CRMI is advocating Upskill in geopolitical risk analysis and energy economics, develop expertise in scenario planning and predictive analytics.
CRMI urged stakeholders to proactively reposition their strategies to navigate this evolving geo- economic environment.
“ The Institute anticipates possible scenarios, including fragmentation of global oil governance structures, increased market-driven oil pricing mechanisms, and acceleration of global energy transition initiatives” he added