Starting at midnight tomorrow, Israeli drivers will face a rise in fuel prices as the Ministry of Energy and Infrastructure announces an 8-agorot increase in the cost of 95 octane fuel. The price will climb to 7.31 shekels per liter, including VAT. This follows a decrease of 8 agorot per liter just last month, when the price of fuel stood at 7.23 shekels per liter.
According to the Fuel and Gas Administration at the Ministry of Energy, the increase is primarily due to the rising international price of gasoline and the strengthening of the U.S. dollar against the shekel by approximately 3% compared to March. The fluctuating global oil market and exchange rates continue to influence local fuel prices.
Eilat Gas Prices See Slight Increase
In Eilat, the maximum price per liter of 95 octane unleaded gasoline at self-service stations (excluding VAT) will be 6.20 shekels per liter, marking an increase of 7 agorot compared to the previous update. Additionally, the surcharge for full service will remain unchanged at 20 agorot per liter.
Impact on Inflation and Cost of Living
This fuel price hike comes at a time of rising inflation in Israel. In addition to the fuel increase, public transportation prices are set to jump by a substantial 33% in April. The minimum wage will also see a 6% increase, contributing to higher employment costs for hundreds of thousands of workers. These factors are expected to drive further price increases across the economy, affecting the cost of goods and services for consumers.
The simultaneous rise in transportation costs, combined with the fuel price adjustment, highlights the ongoing financial pressures that Israelis are facing in the coming months.
