Top 10 African Countries with Cheapest Fuel Prices as Global Oil Prices Dip
- The ongoing US-China trade tensions and OPEC+ plans to increase production have contributed to the downward pressure on prices
- Economist Daniel Kathali told TUKO.co.ke that while global crude prices set the base, local factors such as subsidies and taxes largely influence pump prices
- Libya, Algeria, and Angola top the list of African countries with the cheapest fuel prices, with Libya offering both diesel and petrol at just $0.027 (KSh 3.49) per litre
Elijah Ntongai, a journalist at TUKO.co.ke, has over four years of financial, business, and technology research and reporting experience, providing insights into Kenyan and global trends.
Global oil prices are experiencing a significant downward trend, with Brent crude oil, a key benchmark, trading at approximately $61.58 (about KSh 7,900) per barrel as of May 8, 2025.
Source: Getty Images
This price reflects a year-to-date decline of about 16.93% on the Brent crude index while the crude oil price index settled around $58.5 (about 7,500) per barrel.
Oil prices have remained near multi-year lows, pressured by ongoing uncertainty surrounding the US-China trade tensions, the world’s two largest oil consumers.
Additional headwinds came from OPEC+ plans to accelerate production increases, while the Federal Reserve left interest rates unchanged as expected and cautioned that economic uncertainty continues to rise.
Source: UGC
Oil prices in Africa
Speaking to TUKO.co.ke Daniel Kathali, an economist, explained that fuel prices at the pump are determined by a mix of global and local factors, but noted that the global crude oil prices set the baseline for pricing models.
"Local conditions such as government subsidies or taxes, domestic production and refining capacity, currency exchange rates, and geopolitical stability further influence retail prices. Additionally, transportation and distribution costs, especially in landlocked areas, can raise prices, while global supply-demand dynamics and decisions by oil producers add further complexity and volatility in fuel prices. Despite all these factors, oil producing countries generally have the lowest fule prices," he explained.
Below are countries with the lowest fuel prices in Africa as of May 8, 2025:
| Country | Diesel Price (USD/L) | Gasoline Price (USD/L) | |
| 1 | Libya | 0.027 (KSh 3.49) | 0.027 (KSh 3.49) |
| 2 | Algeria | 0.22 (KSh 28.49) | 0.35 (KSh 45.33) |
| 3 | Angola | 0.328 (KSh 42.47) | 0.328 (KSh 42.47) |
| 4 | Egypt | 0.31 (KSh 40.15) | 0.38 (KSh 49.21) |
| 5 | Nigeria | 0.68 (KSh 88.06) | 0.47 (KSh 60.87) |
| 6 | Sudan | 0.71 (KSh 91.95) | 0.70 (KSh 90.65) |
| 7 | Tunisia | 0.73 (KSh 94.54) | 0.81 (KSh 104.90) |
| 8 | Ghana | 0.85 (KSh 110.08) | 0.83 (KSh 107.49) |
| 9 | Morocco | 0.89 (KSh 115.26) | 0.95 (KSh 123.03) |
| 10 | Ethiopia | 0.92 (KSh 119.14) | 0.94 (KSh 121.73) |
Impact of dropping fuel prices
The sharp drop in international oil prices to $60 (KSh 7,755) per barrel is expected to ease economic pressure in Kenya by reducing fuel costs and stabilising the shilling.
In an earlier report by TUKO.co.ke, FXPesa's Rufas Kamau projected that the decrease will lower pump prices in the coming months, providing relief to consumers and businesses reliant on fuel.
In Kenya, the Energy and Petroleum Regulatory Authority (EPRA) has already cut prices, and further reductions are likely if the global trend persists.
Additionally, the lower oil prices could reduce the cost of imports and ease the burden on Kenya’s foreign exchange reserves, supporting overall macroeconomic stability.
Proofreading by Mercy Nyambura, copy editor at TUKO.co.ke.
Source: TUKO.co.ke
