The fuel market situation in Kyrgyzstan remains stable due to guaranteed fuel supplies from Russia. According to the Association of Oil Traders, current fuel reserves in the country are sufficient for 1 to 1.5 months, the Antimonopoly Regulation Service reported.
According to it, Kyrgyzstan’s annual demand for petroleum products amounts to about 1.6 million tons.
It also provided comparative fuel prices. As of May 14, the average retail price in Bishkek for AI 92 gasoline stood at 78.4 soms per liter, AI 95 at 84.4 soms, and diesel fuel at 91.9 soms.
Fuel prices in Kazakhstan and Russia remain lower, while in Armenia, Tajikistan, Uzbekistan, as well as in most European and Asian countries, fuel prices are significantly higher.
The Antimonopoly Regulation Service linked the rise in global fuel prices to the conflict surrounding Iran and the partial blockage of the Strait of Hormuz, which affected oil and fuel prices worldwide.
The agency said it continues daily monitoring of fuel prices at gas stations and holds regular meetings with oil traders to prevent shortages and sharp price increases.
Tax benefits for fuel imports
As reported earlier, Kyrgyzstan is considering the possibility of temporarily reducing or canceling taxes on fuel imports from Russia in order to contain domestic fuel price growth.
According to the Antimonopoly Regulation Service, the Cabinet of Ministers is discussing measures aimed at mitigating the impact of rising global oil prices on the domestic market, including:
- temporary reduction or cancellation of excise tax and VAT for fuel importers;
- introduction of subsidy programs for the sector;
- concessional lending for oil traders to build fuel reserves.
At present, the Cabinet of Ministers’ draft resolution on fuel tax benefits is under public discussion.
