Hargeisa (Horn post) Somaliland authorities have intensified enforcement of newly set fuel prices as resistance grows among fuel traders, following a sharp increase driven by the ongoing Middle East conflict involving Iran, the United States and Israel.
The Ministry of Trade and Tourism, working alongside regional governors and the Somaliland Police Force, has begun implementing nationwide price controls, mandating standardized rates for petrol and diesel to stabilize the market.
The Ministry of Trade and Tourism announced that petrol will now retail at 9,700 Somaliland shillings per liter (approximately $0.89), while diesel has been set at 9,500 Somaliland shillings per liter (around $0.88), following a recent spike that briefly pushed prices above $1 per liter in local markets.
However, many fuel traders have rejected the directive, with reports indicating that a significant number of filling stations have not complied with. Authorities have responded by ordering the closure of stations that fail to adhere to the government-set prices.
Officials say regional governors across Somaliland are directly overseeing enforcement operations, ensuring that the directive is applied uniformly in all regions, including the capital, Hargeisa.
The standoff highlights growing pressure on Somaliland’s fuel supply chain, as global oil prices continue to rise due to disruptions linked to the Middle East conflict. Analysts note that geopolitical tensions have driven up crude oil costs and shipping risks, which are quickly transmitted to import-dependent economies like Somaliland.
The government maintains that price controls are necessary to curb inflation and protect consumers, while traders argue that fixed prices may not reflect rising import costs.
The situation underscores the broader economic ripple effects of the Iran-related conflict, which has tightened global energy markets and increased costs across supply chains worldwide.
Prepared by:
Horn post staff
