- Average gasoline and diesel prices rose by about five cents last week.
- The government has imposed temporary restrictions on the sale and export of diesel fuel since March 19.
- Long-term high energy prices can make goods and services more expensive globally.
Fuel prices rose by an average of about five cents last week and are expected to rise further next week. This follows from the analysis of the company XTB. Gasoline in the 11th week became more expensive by 2.9% (0.043 euros per liter) to the level of 1,524 euros per liter. The price of diesel fuel increased by 3.7% (0.055 euros per liter) to 1,528 euros per liter. “Next week we expect fuel prices to rise in the range of two to seven cents,” said XTB financial markets analyst Matej Bajzík.
According to him, the reason for the increase in prices is mainly high geopolitical uncertainty and the rise in oil prices on world markets. The situation is mainly influenced by developments in the Middle East, where attacks on the energy infrastructure in Iran have caused concerns about supply cuts and, consequently, energy prices.
The rise in energy prices and the disruption of oil supplies are beginning to show in Central Europe as well. The Slovak government therefore adopted extraordinary measures to stabilize the fuel market. From March 19, it introduced the possibility to limit the sale of diesel fuel at gas stations for 30 days, limited its export and allowed higher prices for foreign vehicles, especially in border areas.
The aim of the measures is to prevent the so-called fuel tourism and prevent possible fuel shortages. According to the analyst, further developments will depend mainly on the duration and escalation of the conflict. “A bigger problem would arise if high energy prices persisted for a long time and were reflected in the prices of goods and services,” added Bajzík.
