The fear of petrol prices surging beyond €2 a litre looms large due to escalating tensions in the Middle East. Experts warn of potential price hikes as geopolitical instability threatens oil supply routes, causing volatility in crude oil prices and raising concerns about significant increases in fuel costs.
Fuel costs in Cyprus have surged due to the government retracting a fuel tax subsidy, leading to an average increase of 8.3 cents per litre for petrol. Districts like Limassol, Nicosia, and Famagusta have experienced varying price hikes, with diesel prices also rising. This has affected commuters, businesses, and the economy.
Green taxes in Cyprus, like the fivecent “green tax” on fuel, are expected to push fuel prices up by 1011 cents, potentially reaching 16 cents per litre with additional VAT and the end of state subsidies. This financial burden may strain households and businesses, highlighting the delicate balance between sustainability and economic stability.
