Ethiopian consumers are facing yet another fuel price increase as the government adjusted petroleum prices overnight, marking the second hike in just two months. The Federal Ministry of Trade and Regional Cooperation announced that the new prices took effect yesterday.

The latest adjustment sets a liter of gasoline at ETB 112.67, while white diesel now costs ETB 107.93 per liter. This follows a significant increase in January 2025, when gasoline prices crossed the ETB 100 per liter mark for the first time, reaching ETB 101.47, while white diesel was priced at ETB 98.98 per liter. The March hike represents an additional 11% rise in gasoline prices and a 9% increase in diesel prices within just two months.

The January fuel price adjustment was attributed to fluctuations in global oil markets and ongoing economic reforms. However, the latest hike comes unexpectedly, as authorities had previously signaled that fuel prices for March would remain unchanged from February. The sudden revision has left businesses and consumers concerned about its impact on transportation, logistics, and the overall cost of living.

With inflation already a pressing issue in Ethiopia, experts caution that consecutive fuel price hikes could further drive up costs across various sectors. Both consumers and businesses are expected to keep a close watch for any potential price adjustments in the coming months.