Israel Fuel Prices Hit Record High Amid Global Market Turmoil
Translated & summarized from Ynet by baba
Gasoline prices in Israel will reach a record high of 8.27 shekels per liter due to global oil price increases and a stronger dollar. This comes after a temporary tax reduction had previously lowered the price.
The story in 4 lines · by baba
- Israeli gasoline prices will hit a record 8.27 shekels per liter on Wednesday.
- Global oil prices and a stronger dollar are driving the increase.
- A previous temporary tax cut is now being reversed.
- The new price surpasses the previous record set earlier in September.
The price of gasoline in Israel is set to reach an all-time high of 8.27 shekels per liter starting Wednesday at midnight, marking a 52 agorot increase from September's price. This new record surpasses the previous high of 8.25 shekels per liter, which was also recorded earlier in September and matched the price from September 2012. The price for full service will remain unchanged at 26 agorot per liter, including VAT.
The rise in fuel costs is attributed to global energy market developments. International gasoline prices have surged by approximately 13%, driven by rising global oil prices and ongoing concerns about oil supply disruptions and overall energy market stability. Additionally, a roughly 3% strengthening of the U.S. dollar against the Israeli shekel has further contributed to the increased fuel cost.
This price hike occurs despite a previous reduction in excise tax (blue tax) by Finance Minister Bezalel Smotrich, which had temporarily lowered the price by 50 agorot to 7.75 shekels per liter. The Fuel and Gas Administration noted that the upcoming price includes the reinstatement of the previously reduced excise tax, as per an emergency order that was in effect from early September until the end of October.
