Africa-Press – Botswana. Botswana’s households and businesses will have to endure another assault on their disposable incomes and recurrent budgets as fuel prices continue to rise. On Monday, the Botswana Energy Regulatory Authority (BERA) stoked inflationary pressures as it announced another upward price adjustment for petrol, diesel and paraffin in a space of two months.
The energy regulator made adjustments to fuel pump prices, with unleaded petrol 93 price increasing by 193 Thebe per litre while unleaded petrol increased by 204 Thebe. Diesel retail price will also go up by 128 Thebe, while paraffin prices will increase by 367 Thebe.
BERA said on Monday that the increase of pump prices is necessitated by the general increase in international crude oil prices.
“The pump price adjustments are done to align with international crude oil prices. Since February 2022, the main driver of international oil prices has been the Russia – Ukraine war that threatens global crude oil supplies. The rise in international oil prices have put pressure on local pump prices and aviation fuel prices”, reads part of a statement issued by BERA on 27 June 2022.
The regulator also announced a hike in Aviation Gasoline prices with a 763 thebe per litre hike for Gaborone, 664 thebe per litre for Maun, 688 thebe per litre for Kasane nd 734 thebe per litre for Francistown.
Jet fuel prices were increased as follows: 743 thebe per litre for Gaborone, 754 thebe per litre for Maun, 754 thebe per litre for Kasane; and 748 thebe per litre for Francistown.
The latest price increase, just like the previous ones will nudge inflation rate to go up, reflecting more added costs of living.
About two weeks ago, the central Bank raised its inflation forecast again, predicting it will hit 11.1 percent this year.
The Bank’s Monetary Policy Committee (MPC) had previously estimated that consumer price inflation would hit 8.0 percent – far over its 3 – 6 percent target. The BoB’s new forecast shows that households face even more pain, with real wages already lagging inflation.
Data shared by state owned data agency – Statistics Botswana shows that the annual inflation rate reached 11.9 percent in May 2022, compared to 9.6 percent in April 2022 registering an increase of 2.3 percentage points. The increases in prices were mainly reflected through the transport group index which rose by 7.3 percent due to rise in retail pump prices of fuel approved by BERA in mid-May 2022.
For More News And Analysis About Botswana Follow Africa-Press
