Fuel prices hit record high after William Ruto ends subsidy
Fuel prices hit record high after President William Ruto ends the subsidy that had offered relief under the Uhuru government.
After the government ended the fuel subsidy scheme that had provided respite to motorists during the previous year, petrol prices in Kenya have risen to an all-time high.
A litre of gasoline costs Sh179.30 and a litre of diesel costs Sh165.00 in Nairobi.
Kerosene will cost Sh147.94 per litre starting on Thursday, September 15.
The revised costs are in effect for the next month.
This marks the first time the government is withdrawing the relief scheme that has cost more than Sh100 billion.
President William Ruto announced the end of the fuel relief program in his inauguration address on Tuesday, September 13 because it was severely damaging Kenya’s economic stability.
Since April 2021, the State has been covering the high cost of petrol for motorists.
In a program where it paid the oil marketing businesses to stabilize pump prices, it had invested more than Sh100 billion.
Kenyans were able to avoid spending more than Sh100 billion on the product because to the fuel subsidy.
The International Monetary Fund (IMF) had been pushing for its scrapping.
In a July report, the institution said National Treasury had agreed to do away with the programme and would be slowly pulling out and allowing local fuel prices to reflect the market realities such as the high crude oil cost and weak shilling.
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