Carmudi Analyses Global Gas Prices
Lagos Nigeria, June 27th 2015 Global consumer demand for petrol has steadily grown thanks to low oil prices combined with economic growth, according to the International Energy Agency. In 2014, global oil demand was 92.6 million barrels per day, and demand for 2015 is expected to increase by 1.4 million barrels each day, to a total of 94 million. This phenomenon truly spans the globe; gas prices have decreased from the pumps in Pakistan to stations in Senegal. But while most countries have seen savings, the price of gas differs wildly across the globe.
Carmudi, the leading online car platform, examined the fuel price and general affordability of petrol in eighteen emerging markets. In Africa, it comes as no surprise that fuel prices in Nigeria, the biggest oil producer in the region, are among the cheapest standing at $0.46 per litre or 5.6% of the national average income per day. Fuel prices look different for those East African countries with significantly lower average incomes. In Rwanda, where fuel costs $1.17, the average person makes only $1.55 per day. One liter accounts for over 75% of a typical daily income, almost a full day’s work.
In Indonesia, where fuel subsidies have been cut by the government since early 2015, most people are forced to spend over 30% of their daily earnings to buy a single litre of petrol. In Sri Lanka a single litre of fuel costs $0.96, taking up to nearly 45% of the national average daily
Carmudi created an infographic using Q2 2015 prices and 2014 average income data compiled from sources including Nigeria National Bureau Statistics, Philippines Bureau of Labor and Employment Statistics, The Pan African Bank, Crédit Agricole, Trading Economics, Global Petrol Prices, and World Vision. 2014 income data were used for all countries except Vietnam (2015) and Sri Lanka (GDP per capita). Petrol price for Myanmar is Q2 2014.
Fuel prices in Mexico, the world’s seventh largest oil producer, are similar to prices in several Asian countries such as Vietnam, where a litre is priced at $0.92 and $0.97, respectively. Despite the similar prices, the average daily income in Mexico is almost three times more than Vietnam. It takes 7.8% of a day’s wage in Mexico to buy a litre; whereas, in Vietnam it costs more than 25% of the average daily income.
Fuel prices in the oilwealthy Middle East are incredibly low, and that, coupled with the high average daily income, makes it the best place to own a gas guzzler. Prices range from $0.15 per liter in Saudi Arabia, OPEC’s largest oil producer (average daily income $143.60), to $0.26 in Qatar, the world’s third largest oil producer (average daily income $382.60), to $0.47 in the United Arab Emirates, the world’s eighth largest oil producer (average daily income $170.00).
