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Monday February 10, 2025

Countries with lowest petrol prices around the world

Iran provides cheapest petrol to its residents with price of $0.029 (Rs2.51) per litre

By News Desk
February 03, 2025
A representational image of a fuel station staffer updating the fuel prices in Karachi. — AFP/File
A representational image of a fuel station staffer updating the fuel prices in Karachi. — AFP/File

ISLAMABAD: As of February 1, 2025, a litre of petrol in India’s financial capital Mumbai was priced at Rs105.01, while in New Delhi it was Rs94.77. Many commuters feel the pinch of shelling out such high prices for an essential commodity, but the government is making efforts by enhancing the transport system to shed some burden from commuters.

Nonetheless, let’s take a look at countries where petrol is sold for barely any money and find out where India and Pakistan rank.

No 1. Iran: Iran remains the world leader for being the cheapest supplier of petrol to its residents, with petrol priced at just $0.029 (Rs2.51) per litre. The country’s vast oil reserves allow for low production costs, while the government heavily subsidises fuel to maintain economic stability for its citizens. Despite international sanctions limiting Iran’s ability to sell oil and access foreign technology, fuel sold to neighbouring countries with higher prices and excessive domestic consumption continue to be major challenges.

No 2 Libya: On the second spot Libya where fuel is being provided to its citizen with $0.031.

No 3. Venezuela: On the third spot is the South American country of Venezuela, which offers fuel to its citizens for as low as $0.035 (Rs3.03) per litre. With some of the largest proven oil reserves, the country enjoys low production costs. The government subsidises petrol nearly to zero as part of its social agenda. However, hyperinflation has devalued the country’s currency, rendering subsidies unsustainable, while mismanagement in infrastructure and refineries has caused periodic shortages despite low prices.

No 4. Angola: In Angola, fuel is priced at $0.328 (Rs28.44) per litre. As a leading oil producer in Africa, Angola’s domestic production helps keep fuel prices relatively affordable. Government subsidies ensure that petrol remains accessible, especially in rural regions. However, economic inequality means that these subsidies may not reach all citizens equally, and diversifying the economy beyond oil remains a challenge.

No 5. Egypt: Egypt sells petrol at $0.339 (Rs29.39) per litre. As both a producer and consumer of petroleum, Egypt’s fuel prices reflect this dual role. The government subsidises fuel to make it affordable, especially for lower-income groups. Despite recent economic reforms and gradual reductions in subsidies, petrol prices remain lower than global averages.

No 6. Algeria: Algeria’s fuel price stands at $0.340 (Rs29.48) per litre (528.279 Naira). As a significant oil and gas producer, the country’s subsidies ensure affordable energy for its citizens. Algeria’s vast reserves of oil and natural gas help maintain low petrol costs, but dependence on oil revenue leaves the economy vulnerable to global price fluctuations.

No 7. Kuwait: Petrol in Kuwait costs $0.341 (Rs29.56) per litre. Like other GCC countries on this list, Kuwait benefits from significant oil reserves that allow for some of the lowest production costs globally. The government’s social welfare programmes provide substantial subsidies on petrol, ensuring affordability for citizens.

No 8. Turkmenistan: Fuel in Turkmenistan is priced at $0.428 (Rs37.11) per litre. With extensive natural gas and oil reserves, Turkmenistan keeps fuel costs low through state-controlled pricing and subsidies. The government ensures affordable petrol for citizens by providing cheap utilities and relying on domestic production rather than imports.

No 9. Malaysia: In Malaysia, petrol is priced at $0.467 (Rs40.49) per litre. As a net oil exporter, the country benefits from domestic production, which helps keep petrol prices low. Government subsidies make fuel affordable for the population, supporting the nation’s economic growth.

No 10. Kazakhstan: Kazakhstan’s petrol costs $0.473 (Rs41.01) per litre. Rich in oil and gas resources, Kazakhstan offers relatively low energy costs for its citizens due to its abundant natural reserves.

No 11. Pakistan and India: While Pakistan occupies the 36th spot on the list and India is on the 73rd spot on the list, with low subsidies. Hong Kong is on the last spot in the list where per litre price of petrol costs $3.407.