Fuel Subsidy Removed In Kenya

Post created on 11:03 am

In Kenya price of fuel has soared high after the new government removed the country’s petrol subsidy.

On Wednesday, the price of petrol increased by 20.18 shillings to 179 KES (about $1.49) per liter while diesel and kerosene prices jumped by 20 and 25 shillings, respectively, according to Kenya’s Energy and Petroleum Regulatory Authority (EPRA).

EPRA said it had removed the subsidy on petrol but retained it on diesel and kerosene to cushion consumers from the high prices.

Petrol rose by 13 percent, diesel up 18 percent, and kerosene increased by 16 percent a month earlier until October 14 when the government plans to announce a new pump price.

This development is coming after the newly-inaugurated President William Ruto said his administration would do away with food and fuel subsidies.

He said the new administration would reduce food production costs and increase output by subsidizing inputs such as fertilizer and quality seeds.

In Kenya, inflation soared to 8.5 percent in August  the highest level since September 2021.