Finance, Economic Development and Investment Promotion Minister Mthuli Ncube says fuel prices may fall soon. He linked this to continued drops in FOB and global oil prices. He spoke during a post-cabinet media briefing in Harare on Tuesday.
Additionally, he said government already acted to protect citizens from price shocks. Global increases previously stemmed from Middle East conflict-driven oil market disruptions. Consequently, authorities adjusted fuel taxes to ease pressure on consumers.
“On the issue of [fuel] pricing, we have seen an increase in fuel prices starting with the FOB price and then other subsequent margins beyond that.
“But again, we have taken measures to cushion our citizens from this increase in prices… reducing some of the taxes that we have imposed on fuel. And this has gone a long way in ameliorating this increase in prices.
Tax Adjustments and Market Outlook
Ncube explained that government maintains current prices while closely tracking market trends. Moreover, he noted recent declines in FOB prices as a positive signal. He added that global oil prices have fallen below the hundred-dollar mark. Therefore, he suggested further reductions could follow if the trend continues.
“We have resolved to continue with the current price level while we monitor things. We have been watching the FOB price drop, which is good and in line with the falling global price below a hundred dollars. So that’s promising. It means that if this continues, then it will even allow us to drop these prices further,” said Ncube.
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