Fuel prices in Ghana are expected to decrease further during the initial pricing window of June, as the cedi appreciates against the US dollar.
As import costs decline, it remains uncertain how much of the currency appreciation will be reflected at the fuel pumps.
Recently, fuel prices have consistently decreased across various pricing windows, with some Oil Marketing Companies offering petrol and diesel at slightly above GHS13 per liter.
The appreciation of the cedi is the primary factor contributing to the ongoing reduction in petroleum product prices.
Market analysts predict additional price reductions in the upcoming days, attributing this to the stability of the local currency and decreasing import costs. In the previous pricing window of May, energy analysts suggested that prices could have seen a more substantial decrease, despite the downward revision of pump prices.
The wider implications are already evident, as the Ghana Private Road Transport Union (GPRTU) has announced a 15% reduction in transport fares, citing the combined effects of decreasing fuel prices and relative stability in the exchange rate.
As the cedi maintains its gains, pressure will likely increase on retailers to reflect the currency benefits more accurately in fuel prices.
