Moroccans are paying more than the majority of Africans for fuel, reveals new report

Morocco is among the African countries that pay the highest prices per liter of gasoline or diesel, revealing a comparative study on oil prices in the world.

According to a study by the German institute Statista lasting up until the end of March 2022, Morocco has the distinction of paying more for oil than its neighbors, up to double.

While taking into account that the majority of North African countries are oil producers and that the Kingdom is the only country that surpassed fuel subsidies, Moroccans are currently paying up to double the price of citizens of neighboring countries.

The study outlines 5 price categories ranging from the lowest (between $0.10 and $3 for three liters) to the highest (over $6.)

The study shows that African countries, although showing obvious disparities in oil prices, offer goods at a relatively low price point.

Two countries stand out in the study, demonstrating “extremely high” prices exceeding 6 dollars, namely the Central African Republic and Zimbabwe.

In North and West Africa, Morocco is the exception this time, with “very high” prices ranging between 5 and 6 dollars for 3 liters of gasoline.

The rest of the North African countries in the region are all classified in the cheaper price category, namely Algeria, Tunisia, Libya, Egypt, and all oil-producing nations.

At the continental level, Morocco is alongside Malawi, Rwanda, Burundi, and South Africa in terms of rates.

All these countries are in the minority compared to the majority that has either low or very low gasoline prices.

The study did not take into account Mauritania, where data is unavailable, while Mali ranks in the middle with prices ranging from $4 to $5. In the same vein, Chad and Sudan have low prices, with prices between 3 and 4 dollars.

To better understand the price disparities, several factors must be taken into account.

The first is whether the country is a producer, while the second is the amount of tax it applies on fuel imports, and finally whether the country has a policy of subsidizing or capping gasoline prices so that they remain accessible to the population at a lower cost.

Since taxes make up a large portion of the price of gasoline in most industrialized countries, countries that tax gasoline at lower rates will have lower prices compared to others.