The government of Ethiopia has announced a series of measures aimed at stabilising fuel supply and controlling prices following a sharp increase in global petroleum costs linked to tensions in the Middle East.
Speaking at a press conference, Finance Minister Ahmed Shide described the recent surge in fuel prices as “alarming” and warned that the situation could pose serious economic challenges if left unchecked.
According to the minister, the government will expand fuel subsidies to help keep prices affordable for consumers while also purchasing additional petroleum supplies to prevent shortages in the domestic market.
Authorities also plan to intensify efforts to combat illegal fuel trade, including sales outside authorised distribution channels or at prices above the official regulated rate. The government says enforcement measures will target individuals and businesses violating these rules.
Officials attribute the price surge largely to rising geopolitical tensions in the Middle East and disruptions to oil transport routes, particularly the strategic Strait of Hormuz, a critical shipping corridor for global energy supplies.
The closure and instability around this route have contributed to volatility in international oil markets, affecting countries heavily dependent on imported fuel.
Ethiopia is particularly vulnerable to such fluctuations because it relies entirely on imported petroleum products to meet domestic demand.
Shide said the government’s response would combine increased financial support for fuel imports with tighter regulatory enforcement to ensure fair distribution and protect consumers.
The minister also urged citizens and institutions to avoid unnecessary fuel consumption during the period of market uncertainty.
Officials believe that responsible energy use, alongside government intervention, will help maintain a stable supply and reduce pressure on the national economy as global energy markets continue to face disruptions.
