In a welcome respite for consumers, fuel prices in Namibia will remain unchanged in November.
The Ministry of Mines and Energy made the announcement on Friday.
The decision comes after a period of steep increases in the prices of consumer goods in the country.
The Ministry of Mines and Energy explained the reasons behind this decision, citing significant declines in global oil prices during October.
The decline was attributed to a reduction in fuel demand, which outweighed the OPEC+ decision to maintain a reduction in oil production, thus keeping the supply constrained.
Diesel, which serves as an indicator of demand, saw its supply fall to approximately eight million barrels per day, marking its lowest point since the beginning of the year. Additionally, crude oil prices experienced a decline of approximately US$10.
Exchange rate figures for the period of October 1st to October 23rd, 2023, indicated a 0.57% depreciation of the Namibian Dollar against the US Dollar compared to the end of September.
This depreciation increased the foreign exchange burden associated with importing fuel to Namibia.
“The ministry intends to maintain fuel prices that align with fluctuations in the market, with the primary goal of safeguarding the nation’s fuel supply. Given these circumstances, we hold optimism that the situation will remain favourable in the near future,” the Ministry of Mines and Energy stated.
The ministry also announced that the National Energy Fund would absorb the under-recoveries from the past month, providing relief to consumers.
In Walvis Bay, the price for petrol will remain at N$22.88 per litre, while diesel 50ppm and diesel 10ppm will both stay at N$23.15 and N$23.35 per litre, respectively.