Fuel prices in the UAE are set to be revised for the month of July in order to align them with global rates. In June, petrol prices saw a decrease of 20 fils per litre, with Super 98, Special 95, and E-Plus 91 priced at Dh3.14, Dh3.02, and Dh2.95 per litre, respectively. This drop was a result of the average oil price in Brent falling by nearly $5 in May. However, globally, oil prices rose in June, with prices increasing from $78 a barrel at the beginning of the month to $86 a barrel by June 28.
Despite the increase in oil prices in June, the average price of Brent was still lower than the previous month, averaging $82.59 compared to $83.35 in May. Since the deregulation of retail fuel prices in the UAE in August 2015, local petrol prices are adjusted based on the performance of oil prices in the outgoing month, which will be reflected in the upcoming prices for July. Even though prices are expected to rise, petrol prices in the UAE are still cheaper by Dh1.84 per litre when compared to the global average for June.
Vijay Valecha, the chief investment officer at Century Financial, highlighted that traders are monitoring summer fuel demand and tensions along the Israel-Lebanon border. Analysts also noted that the easing of interest rates by the US Federal Reserve could potentially boost oil demand from consumers. It is important to stay informed with the latest news and updates on fuel prices to understand how it may impact daily expenses.
It is crucial for consumers in the UAE to keep track of the fluctuating fuel prices as they directly impact transportation costs and daily expenses. With global oil prices on the rise, it is expected that the retail fuel prices in the UAE will also increase for the month of July. By staying informed and understanding the factors influencing oil prices, individuals can better manage their budget and plan their expenses accordingly. Following KT on WhatsApp Channels can help individuals stay updated on the latest news and developments regarding fuel prices in the UAE and globally.
In the UAE, petrol prices have been adjusted each month based on the performance of oil prices in the preceding month since the deregulation in 2015. This system allows for more flexible pricing that reflects global market trends. With oil prices fluctuating due to various factors such as demand, geopolitical tensions, and economic policies, it is important for consumers to stay informed about these changes in order to make informed decisions. Additionally, the potential impact of US Federal Reserve interest rate changes on oil prices adds another layer of complexity to the global oil market.
