Fuel Prices Set to Rise on January 17 Due to Cedi Depreciation and Increasing Global Crude Prices
Rising Crude Prices and Cedi Weakness Drive Projected Increase in Fuel Costs
- Petroleum product prices are expected to see a slight increase at the pumps starting Friday, January 17, 2025
- The cedi has started the year on a downward trajectory
- Oil marketing companies are required to adjust their prices in line with the regulatory framework
Petroleum product prices are expected to see a slight increase at the pumps starting Friday, January 17, 2025, driven by the rising cost of crude oil on the global market and the recent depreciation of the Ghanaian cedi.
The cedi has started the year on a downward trajectory, losing 0.38% against the US dollar in the retail market.
Dr. Riverson Oppong, Chief Executive of the Chamber of Oil Marketing Companies, explained that the rise in global crude prices and the depreciation of the local currency are the key factors contributing to the anticipated price hike.
“Until recently, the situation was stable, but we have observed a 0.33% increase in global Free-On-Board (FOB) prices over the past 24 hours. Additionally, the exchange rate continues to be unstable,” Dr. Oppong said in an interview with Joy Business.
He further noted that the fluctuations in crude prices and foreign exchange rates have resulted in increasing petroleum prices.
Oil marketing companies are required to adjust their prices in line with the regulatory framework established by the National Petroleum Authority (NPA). Dr. Oppong confirmed that the floor price for petroleum products will be updated for the upcoming window, necessitating an increase in fuel prices to comply with NPA directives.
