A new fuel price hike deepens the poverty of Syrians. The government’s decision to raise fuel prices, announced before Syrians could recover from the shock of Eid al-Fitr expenses, sparked widespread discontent.
These decisions, characterized by significant price jumps, further push families below the poverty line. An economic expert likened the continuous issuance of such decisions to a forest fire engulfing the forest while its owners await firefighting vehicles.
Fuel distribution stations in Damascus halted operations on Sunday evening. Shortly after midnight, the Ministry of Internal Trade and Consumer Protection issued what has become known as “late-night decisions,” a term coined due to the consistent issuance of such decisions at this time.
The new price list set the selling price per liter of Octane 90 gasoline at 11,500 Syrian pounds, up from 11,000, while Octane 95 gasoline increased to 14,290 Syrian pounds from 13,985.
The selling price per liter of diesel rose to 13,540 Syrian pounds from 12,100, with a ton of fuel oil priced at 8,690,595 Syrian pounds, and a ton of liquefied gas “Dokuma” at 11,361,545 Syrian pounds.
The black market exchange rate for the dollar is 14,200 Syrian pounds, while the official rate is 13,500 Syrian pounds.
This decision, the seventh of its kind since the beginning of the year, was met with significant discontent and anger among civilians. A car owner waiting at “Midan West Station” in south Damascus explained that the cost of a full tank, totaling 287,500 Syrian pounds, is causing him a headache.
He stated, “The expenses of Eid have burdened people, and this decision, like its predecessors, will lead to increases in transportation fares, prices of goods, and all other prices. With these decisions, the government confirms that the citizen is its least concern and tells people to figure things out for themselves.”
The Ministry had announced its intention in the last quarter of last year to issue a periodic price list for oil derivatives for industrial and other sectors based on price reality. The subsidized gasoline price increased 11 times during the past year, with a percentage increase exceeding 300%.
With each fuel price hike, there is a wave of price increases and inflation. A local newspaper estimated the average monthly cost of living for a family of five at more than 12 million Syrian pounds, equivalent to 850 dollars. However, the salary of a first-grade government employee does not exceed 450,000 pounds, exacerbating bribery in government departments.
The government attributes the complete deterioration of the economic situation to international economic sanctions, especially the US-imposed Caesar Act in 2020. Due to the increasing difficulty of living conditions and the loss of hope for any improvement, youth are turning to migration as a solution.
An economic expert, Aamer Shahada, criticized the decision to raise fuel prices, stating that it exacerbates economic problems and strengthens the foundations of the cash economy.
He emphasized that the government’s focus on raising prices, borrowing, and compensating for declining resources deepens economic issues, weakens the national currency, and increases poverty rates. He urged the government to prioritize economic development over short-term solutions.
Another expert noted that fuel prices in government-controlled areas are now higher than in neighboring countries. He argued that these decisions worsen the plight of already impoverished families and contribute to inflationary pressures.
He pointed out that the government’s previous decision to raise fuel prices by 100% had a devastating impact on citizens, breaking their backs with a sudden and massive price hike, leading to further economic hardships.
The situation remains dire as Syrians grapple with soaring living costs and dwindling purchasing power. The government’s reliance on price hikes as a solution only exacerbates the economic crisis, leaving citizens to bear the brunt of the consequences.