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Global surge in oil prices hits economies in Africa

China

China

China

Global surge in oil prices hits economies in Africa

2026-05-30 16:08 Last Updated At:19:47

The global surge in oil prices as a result of the U.S.-Israeli war on Iran has continued to impact economies, incomes and the cost of living across Africa, sparking protests and strikes in several countries.

In Kenya, the rising fuel price is becoming one of the biggest daily challenges for residents. A transport strike in May brought parts of Kenya's capital, Nairobi, and other towns across the country, to a standstill. Thousands of commuters were forced to walk to work.

In South Africa, petrol and diesel prices have neared a four-year high.

In Uganda's capital Kampala, the impact is being felt in every link of the supply and distribution chains.

"If we are not getting the trucks at the right time for exports and imports, we can't do any business, because we depend on the transporters for imports and for exports also, and the transporter depends on the fuel prices, so they are already increasing the charges," said Sarun Sunny, an executive of the logistic company Phenix Freighters.

Even oil-producing countries aren't benefiting. In Nigeria, experts say rising crude prices are not translating into stronger currency reserves.

"Our oil operations, upstream oil exports, it's a JV - it's a joint venture. So, it's not everything that we export that belongs to us. It's almost 50-50," said Muda Yusuf, a Nigerian economist.

Multiple African governments have introduced measures to address the crisis. Ethiopia has increased fuel subsidies. South Africa has extended fuel levy relief.

In Namibia, the government plans to temporarily reduce fuel levies by 50 percent until the end of June.

Nigeria's Dangote refinery, the largest in Africa, has increased exports of gasoline and the widely used chemical urea to African countries hit by supply disruptions caused by the war.

Egypt, on the other hand, has suspended the early-closure policies that were initially implemented in March to curb energy consumption.

Senegal and Cote d'Ivoire have used fiscal funds to cap fuel and essential goods prices.

As governments come under more and more pressure to provide a softer cushion to the crisis, businesses warn of tougher times ahead if the measures don't work.

Global surge in oil prices hits economies in Africa

Global surge in oil prices hits economies in Africa

Pakistan remains firmly committed to its longstanding position on the Palestinian question and will not seek normalization of ties with Israel until an independent Palestinian state is established, Pakistani Deputy Prime Minister and Foreign Minister Mohammad Ishaq Dar said on Friday.

According to Pakistani media reports, Dar made the remarks during a press conference at Pakistan's embassy in Washington after a meeting with U.S. Secretary of State Marco Rubio.

When asked whether U.S. President Donald Trump had dropped his calls for Muslim countries to join the Abraham Accords as part of a potential deal with Iran, Dar reiterated that Pakistan remains steadfast in its position on Palestine and Gaza.

Israel must move towards the establishment of a Palestinian state before there could be any change in Pakistan's stance towards Israel, he said.

Trump said in a social media post on Monday that he urged Saudi Arabia, Qatar, Türkiye, Egypt, Jordan and Pakistan to join the Abraham Accords and normalize ties with Israel during phone talks with their leaders last Saturday.

Pakistan has publicly rejected the proposal, while none of the other countries Trump listed has reacted to his demand.

A Saudi source told Al Arabiya TV on Monday that Saudi Arabia's position on the Palestinian question remains unchanged, affirming the need for "an irreversible pathway to a Palestinian state".

The Abraham Accords, brokered by the United States in 2020 during Trump's first term, were established between the Israeli government and Arab countries including the United Arab Emirates, Bahrain, Sudan and Morocco, aimed at rapidly advancing the normalization of relations between Israel and Arab countries.

The two-state solution envisions independent Palestinian and Israeli states coexisting peacefully. It is widely recognized by the international community as the only equitable way to resolve the Palestinian question.

Pakistani foreign minister reaffirms support for two-state solution to Palestinian question

Pakistani foreign minister reaffirms support for two-state solution to Palestinian question

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