Zimbabwe slashes fuel prices to below US$2 per litre, but remains higher in the region

ZIMBABWE has reduced fuel prices to below US$2 per litre following the reopening of the Strait of Hormuz and improved stability in global crude oil markets, according to the Zimbabwe Energy Regulatory Authority (ZERA).

Diesel prices have fallen to US$1.99 per litre from US$2.09, while petrol is now priced at US$1.98, down from US$2.08. The revised prices took effect on June 19 and will remain in place for two weeks.

ZERA said the adjustment reflects easing pressures linked to earlier geopolitical tensions and forms part of ongoing efforts to shield consumers from volatility in international oil markets. The reduction is expected to provide some relief to motorists and businesses, with potential knock-on effects on the cost of goods and services over time.

Despite the decrease, Zimbabwe’s fuel prices remain higher than those in neighbouring countries. Prices average around US$1.30 per litre in Mozambique, US$1.42 in South Africa and approximately US$1.65 in Kenya.

Energy and Power Development Minister July Moyo said the government is continuing to review fuel prices in line with global market trends while prioritising supply security.

“We increased prices when we were affected by developments in the Strait of Hormuz. While those increases were in line with global movements, Zimbabwe already had relatively higher baseline prices,” Moyo said. “Our focus remains on ensuring uninterrupted supply.”

He added that the government aims to avoid fuel shortages, noting that President Emmerson Mnangagwa had directed authorities to prioritise fuel security during the period of heightened tensions.

Moyo said further price adjustments may follow if favourable conditions persist on international markets.

The Strait of Hormuz, a key global shipping route for oil, became a focal point during recent Middle East tensions, raising supply concerns and pushing brent crude prices above US$100 per barrel. The surge contributed to local fuel prices rising to about US$2.23 per litre for petrol, increasing cost pressures on households and businesses.

Authorities have maintained that ensuring consistent fuel availability remains a central policy objective.

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