The UAE on Sunday slashed retail fuel prices by up to 62 fils per litre for the month of August in line with the global crude oil prices, reports Khaleej Times.
The UAE’s oil price committee reduced Super 98 by 13 per cent from Dh4.63 per litre in July to Dh4.03 in August; Special 95 price was cut by 13.27 per cent to Dh3.92 as against Dh4.52 during the comparative period; while E-Plus 91 has been priced at Dh3.84 as against Dh4.44, down by 13.5 per cent.
Following two consecutive months of price hikes, oil prices in the UAE reached an all-time high in July since the government announced deregulation in 2015.
Globally, oil prices have been mostly staying above $100 per barrel this year, especially after the Russia-Ukraine military crisis in February. But prices dropped below $100 in July due to recession fears. On July 5, oil slid more than 10 per cent.
The US economy shrank 0.9 per cent from April to June period for the second straight quarter, raising fears that the world’s largest economy is approaching a recession.
Energy markets and investors are looking to the Opec+ meeting this week for further direction in the crude oil prices.
“MOpec+ current production cuts that have been in place for years will be fully rewound as of August’s end. From September onwards, every Opec+ member will be free to raise their production,” said Vijay Valecha, chief investment officer at Century Financial.