Fuel price hikes might trigger inflationary pressures

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Fuel prices

HARARE – Fuel prices have increased by between 3-4% mainly affected by two main factors – international petroleum costs and the movement on the Zimbabwe dollar/US dollar exchange rate.

According to the new schedule from the Zimbabwe Energy Regulatory Authority, petrol prices are up 4.15% in Zim dollar terms to 9. عايز لعبه الكور 17 and 3.17% in US$ terms to US$1.30 while diesel prices are up 4.57% to $110.41 and 3.94% in US$ terms to US$1.32.

Oil prices pushed the key US$60 level in February marking a high not seen since January last year. This will translate to price hikes over the coming months if trends stay unchanged. لعبة الطاولة اون لاين

Economists have now warned of a double digit price hike as fuel prices have gone up almost 30% since the beginning of the year, a trend which might trigger a continuation of inflationary pressures.

Local economist, Farai Mutambanengwe, said: “We look at where the prices are now relative to where prices were in the beginning of the year… they have gone up almost 30% in USD term and fuel is major component for almost everything.”

The move is expected to push up operational costs for manufacturers, miners and transport operators and have a ripple effect on other goods and services across the economy.

Miners and manufacturers have largely depended on diesel-powered generators as an alternative to electricity due to the recurrent power cuts caused by rains.

The fuel price hike also comes as queues for the cheaper fuel sold in local currency are increasing each day, with most fuel stations running out of stock due to the growing disparities between the official interbank rate and parallel market rates. احتراف لعبة الطاولة 31

The official interbank rate stands at just over $83 while the parallel market rates average 115.

 

 

 

 

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