Saudi Arabia Diesel Price Hike Raises Inflation in Energy Markets

Saudi Aramco has raised diesel prices in Saudi Arabia by 44% to 1.66 riyals per liter, according to the company’s latest updates on its website.

The company, majority-owned by the Saudi government, conducts an annual review of diesel prices at the beginning of each year, and this is the fourth review of diesel prices after the company approved the annual review mechanism for the first time in 2022.

At the beginning of 2024, Saudi Arabia raised diesel prices by about 53% to 1.15 riyals per liter.

Saudi Aramco has raised diesel prices in Saudi Arabia by 53% to 1.15 riyals per liter, according to the company’s updates on its website today.

Aramco kept the prices of all other types of fuel the same at 2.18 riyals per liter for 91 gasoline, 2.33 riyals per liter for 95 gasoline, 1.33 riyals for kerosene, and 1.04 riyals for liquefied petroleum gas.

Diesel prices had been stable for a long time before 2015 at SAR 0.25 per litre, and rose by 80% in December 2015, to SAR 0.45 when Saudi Arabia adjusted domestic fuel and electricity prices. In 2018, diesel prices rose to SAR 0.47, or 5%, when the then 5% VAT was introduced. In mid-2020, prices rose by 10% when the VAT was increased to 15%.