Middle-East conflict: Fuel prices expected to rise on April 14 review
National
By
Josphat Thiong’o
| Apr 03, 2026
An attendant fuels a vehicle at a petrol station located along Kenyatta Avenue, Nairobi. [File, Standard]
Fuel prices are expected to increase from May as a result of the war pitting Iran, Israel and the United States, the government has now announced.
This came on a day that Treasury Cabinet Secretary John Mbadi allayed fears of a looming fuel shortage, explaining that the country is expected to import two million tonnes of fuel between March and July this year.
Appearing before the National Assembly’s Finance and Planning Committee, the CS said that while petroleum supply remains adequate in the short term, covering March and April, imports for May and June are likely to reflect higher global prices, posing a significant risk of further increases in domestic pump prices with attendant inflationary and fiscal pressures.
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“The current fuel pricing cycle (March 15 to April 14) is not likely to be affected since the product concerned was delivered before the Middle East conflict. In the next pricing cycles, however, product prices, insurance, war risk and demurrage rate are expected to increase due to the conflict,” read documents tabled by Mbadi.
He explained that in light of the disruption of supplies routed through the Strait of Hormuz, suppliers are now forced to load the precious goods from alternative ports such as Europe and India.
Before the conflict, petroleum products destined for Kenya were usually loaded from petroleum terminals in Kuwait, Saudi Arabia, Bahrain and the United Arab Emirates and transported via the Strait of Hormuz.
The CS was, however, quick to note that the government would put in place intervention measures such as operationalisation of the fuel stabilisation fund so as to neutralise a significant rise in fuel prices. “If we feel that is inadequate, going forward we will still play around with the Value Added Tax (VAT) so that the pricing or costs do not increase to high levels,” Mbadi told MPs.
Notably, Kenya imports all petroleum products requirements (super, diesel and aviation fuel) under the government-to-government (G2G) arrangement.
The suppliers are Aramco Trading Fujairah, ADNOC Global Trading Ltd and Emirates National Oil Company, domiciled in Dubai, Abu Dhabi and Singapore, respectively. The suppliers source the products mostly from the Middle East, typically at import cycles of approximately one and a half months.
At the same time, Mbadi yesterday moved to assure the country that there would be no fuel shortage in the near future and that the government had enough stocks. “The government is doing a lot to ensure a constant supply together with the contracted suppliers, the three leading in the G2G arrangement. From all indications, we may not have disruptions as of now. We will access enough supply of petroleum products,” observed the CS.
His response was prompted by a query by the Finance committee chairperson, Kimani Kuria, who sought to know the impact of the conflict in the Middle East on the Kenyan economy.
Mbadi submitted that as of March 30, 2026, the country was sufficiently stocked with 138,623 tonnes of super fuel, enough for 16 days’ cover.
There is also a diesel amounting to 207,841 tonnes and enough for 19 days’ cover. There is also 150,398 tonnes of jet fuel, enough to last 49 days.