Tanzania, November 8, 2017 – The oil industry is going through a greasy time and the World Bank had forecast a rise in the prices for the products, with a shift in the global economy. With the prices going up, the prices of most commodities are affected as well.
East African nation Tanzania already has set the maximum price for the oil products, as the country foresees a move to lift the inflation rate. Petrol, diesel and kerosene have all reflected a high in prices prevailing on a rather weaker currency, set by the country’s energy regulator. The state is not the only one to make the customary changes as they are aware of how oil prices affect the prices of almost all commodities.
Undoubtedly, East African economy is highly dependent on the fuel prices. They have a massive effect on the inflation rate on the region’s second biggest economy, that went up to 5.3 percent in a period of a year through the month of September, from an initial 5.0 percent on a hitherto month. Many industries have been adversely affected by the changes overtime.
With the instability of the prices Tanzania’s Energy and Water Utilities Regulatory Authority (EWURA) took the bar to settle the maximum price of petrol at retail price to 2.69 percent and upped the price for diesel by 2.43 percent.
The kerosene price went up by 4.35 percent that took immediate effect after the latest monthly decisions on the price.
Following a statement by EWURA concerning the new prices by the changes made was alluded to the increase in the world oil market prices that generally are the mother point of all other distributions globally. The depreciation of the local currency against the U.S. dollar has led to the increased local prices of the oil products in the country.
The regulator increased the price of petrol in the commercial capital Dar es Salaam by 55 shillings ($0.0246) per litre to 2,118 shillings, and the price of diesel in the capital by 46 shillings to 1,954 shillings per litre.
The price for petrol in the stations for the country’s capital was set as $0.94 per litre which had shot up by 55 shillings. The capital’s price for diesel was settled at 1,954 shillings per litre, increased by 46 shillings.
Kerosene prices in the city rose 81 shillings to 1,939 shillings per litre.