The prices of petrol and diesel in the UAE will drop next month, it has been announced.
Prices increased in September and October, then fell in November, reflecting the trend in the global oil market.
How much will fuel cost in December?
The breakdown in fuel price per litre for December is as follows:
• Super 98: Dh2.96, from Dh3.03 in November (down by 2.3 per cent)
• Special 95: Dh2.85, from Dh2.92 in November (drop of 2.4 per cent)
• Diesel: Dh3.19, from Dh3.42 in November (down by 6.7 per cent)
• E-plus 91: Dh2.77, from Dh2.85 in November (decline of 2.8 per cent)
The UAE liberalised fuel prices in 2015 to allow them to move in line with the market. In 2020, prices were frozen by the fuel price committee after the start of the coronavirus pandemic.
The controls were removed in March 2021 to reflect the movement of the market once again.
Oil prices, which surged to about $98 in September, are on track for a back-to-back monthly loss amid expectations of a tight crude market in the fourth quarter.
But higher oil production in Iran and the easing of sanctions on Venezuela could ease supply concerns next year.
Brent crude is trading 1.36 per cent up at $84.23 a barrel on Thursday. West Texas Intermediate, the gauge that tracks US crude, iss trading 1.18 per cent higher at $78.78 a barrel.
Opec+ is holding its ministerial meeting on November 30. The meeting is expected to chart the course of crude output cuts next year and discuss any possible changes to the group's long-standing agreement aimed at stabilising the oil market.
Last month, Opec stuck to its forecast for oil demand growth for 2023 and 2024 and said it expected the global economy to grow at a faster pace this year.
World oil demand will rise by 2.25 million barrels per day in 2024, compared with a growth of 2.44 million bpd this year, the group said in its monthly oil market report.
Meanwhile, the US Federal Reserve will proceed carefully and only raise interest rates if progress in controlling inflation is hampered, the minutes of the central bank's latest meeting showed last week.
"All participants agreed that the committee was in a position to proceed carefully and that policy decisions at every meeting would continue to be based on the totality of incoming information and its implications for the economic outlook, as well as the balance of risks," the minutes said.
The Fed left interest rates unchanged at 5.25 per cent to 5.50 per cent following the conclusion of its October 31 to November 1 meeting. It was the second consecutive meeting in which rates were held steady.
