Riyadh: Saudi Aramco on Sunday announced new reduced fuel prices in the Kingdom amid previously decreased oil prices due to oil-war and coronavirus pandemic.
Prices in April
Gasoline 91’s price was set at 0.67 riyals per liter ($0.18), down 48.9 percent from 1.31 riyals per liter in April.
Gasoline 95 was set at 0.82 riyals per liter ($0.22), down 44.2 percent from 1.47 riyals per liter in April.
Diesel price was set at 0.47 riyals per liter, Kerosene was set at 0.64 riyals per liter, and liquified petroleum gas (LPG) was set at 0.75 riyals per liter.
“The price adjustment of local fuels was subject to change according to changes in export prices of crude oil from the Kingdom to global markets,” Aramco stated.
Effect of COVID on oil
Oil prices have plummeted by approximately 60 percent this year due to Coronavirus lockdown
“The impact of the coronavirus pandemic and collapsed oil prices on Saudi Arabia’s economy and finances will show it’s results of the second quarter of the year,” Saudi Finance Minister Mohammed al-Jadaan had told Al Arabiya earlier in May.
Saudi Arabia’s revenues dropped to historically low oil prices and reduced economic activity due to lockdowns and curfews implemented.
First quarter of 2020
Oil revenues fell 24 percent in the first quarter of this year to 128.771 billion riyals while non-oil revenues fall 17 percent to 63.3 billion riyals.
“Revenues have seen a huge drop and are expected to continue dropping throughout the year,” al-Jadaan said.
The Kingdom slipped into a $9 billion budget deficit in the first quarter, and its central bank foreign exchange reserves fell in March to their lowest since 2011.