Nicaragua freezes fuel prices at more than $4 per gallon

Managua, 20 Mar The Government of Nicaragua reported that this Sunday the prices of fuels, including diesel, the most used by freight transport and public transport, will be maintained this Sunday, which exceed four dollars per gallon. “For the week of March 20-26, gasoline, diesel and liquefied petroleum gas prices will remain the same, without any adjustment,” said the Ministry of Energy and Mines, and the Nicaraguan Energy Institute (INE), in a joint statement released by the Government of Managua. The average price of top gasoline in Nicaragua is 45.80 córdobas ($1.28) per liter or 173.35 córdobas ($4.86) per gallon. Meanwhile, regular gasoline is 44.64 córdobas ($1.25) per liter or 168.96 córdobas ($4.74) per gallon. While diesel, the most used by freight transport and public transport, is 41.37 córdobas ($1.16) per liter or 156.59 córdobas ($4.39) per gallon. So far this year there have been seven increases and one drop in the price of regular and super gasoline, and eight increases in the price of diesel in Nicaragua, according to INE data. Authorities explained that the high price of fuels in Nicaragua is due to the “steady increase that international prices of oil and its derivatives have had since the beginning of 2021.” From January last year to March 2022, the international price of oil has increased by 107%, from an average of $52.1 per barrel to an average of $107.9 per barrel, said the Ministry of Energy and Mines, and the INE. These entities indicated that these increases in the price of oil “are due to external causes”, which “negatively impact the prices of gasoline, diesel and liquefied petroleum gas fuels, necessary for use in Nicaraguan households and economic sectors.” Therefore, both portfolios assured that the Government of President Daniel Ortega instructed them to maintain the price of fuels, although, according to the law, it is the responsibility of the distribution companies. “The Government of Reconciliation and National Unity will henceforth continue to monitor the behavior of international prices and other variables that make up the price of fuels, and appropriate actions and measures will be taken to mitigate the impact of the increase in these prices on the economy of Nicaraguan families,” he said. Fuel prices are set weekly by distribution companies based on changes in international prices of these derivatives; “that is, these prices are not regulated by the State”, the INE confirmed on its website.