POST Online Media Lite Edition


Venezuela increases gasoline price for first time in 20 years

Staff writer |
The Venezuelan government is raising petrol prices for the first time in 20 years, and devaluing the bolivar currency.

Article continues below

Venezuela's President Nicolas Maduro announced that the retail price of premium gasoline would be raised from its current super-low level of $0.01 per liter to $0.95 at the fixed official exchange rate. The cost of lower grade petrol would rise to about $0.10 a liter.

Venezuela, where petrol is sold at the world's cheapest price, has been able to do so by heavily subsidizing the fuel.

The new measures are estimated to save $800 million a year, but at the same time may spark protests in a country where citizens are struggling with soaring inflation and shortages of basic foods and goods, reports say.

"This is a necessary action, for which I take responsibility," Maduro said in a televised address.

What to read next

Venezuela: Piece of candy cannot cost more than a liter of gasoline
New South Wales plans to extend ethanol requirements
Mexico gasoline prices to rise between 14-20% in January