Indonesia raises fuel prices

31/03/2015,

The Government raised the price of subsidized low-octaine gasoline for April 2015 by 7.2 percent from IDR 6 900 (USD 0.53) to IDR 7 400 (USD 0.56) per liter in the islands of Java, Madura and Bali. The price of subsidized diesel was also raised by 7.8 percent from IDR 6 400 (USD 0.49) to IDR 6 900 per litre (USD 0.53). The price increase was due to increases in the international crude oil prices and depreciation of the local currency (Rupiah) in recent months. The fuel prices for other islands have been set slightly lower to accommodate lower purchasing power of the population. As of early 2015, the Government has reduced fuel subsidies and sets prices on a monthly basis for low-octaine gasoline and diesel according to international crude oil prices. Prices of rice, the main staple in the country, rose significantly for the third consecutive month reaching a record level in February, the rise in fuel prices is likely to put additional upward pressure.

Country: Indonesia