The regime of Daniel Ortega and Rosario Murillo, through the Ministry of Energy and Mines and the Nicaraguan Institute of Energy (INE), reported that for the week between May 29 and June 4, the price of fuel and liquefied gas They will remain frozen.
This is the eighth week that the Nicaraguan government claims to assume the cost of fuel, despite the fact that this week the wti Oil, which is the benchmark for Nicaragua, dropped in price.
In the repeated official statement released this Friday in the propaganda media of the Ortega dictatorship, it states that “given the constant increase they have had since the beginning of 2021” (…) the government assumes “with its resources” the cost of the super gasoline, regular, diesel and liquefied gas.
“According to international fuel prices, for the following week the price of Super Gasoline should increase by 35.09 cordobas per gallon, Regular Gasoline by 23.77 cordobas per gallon, and Diesel by 14.20 cordobas per gallon, however, our Government has decided to assume 100% of said increases, for the benefit of Nicaraguan families,” indicates the communication from the INE and the Ministry of Energy.
As for liquefied gas, which is used for food preparation, the Ortega and Murillo governments affirm that “they have decided to assume 100% of its increase, so that liquefied petroleum gas will not have any change in its price for presentations of 10 pounds, 25 pounds and 100 pounds.
Frozen fuel prices
Based on Daniel Ortega’s decision to keep the prices of gasoline and diesel frozen, they would maintain their cost for the corresponding week from April 3 to 9, when the super gasoline Y regular increased 1.33 cordobas per liter.
For liter, the super gasoline is currently listed on 49.03 cordobasregular 47.84 córdobas, while diesel, the most consumed fuel in the country, is bought from 43.16 cordobas.
while for gallonthe super gasoline it has a price of 185.57 cordobas, the regular 181.07 and diesel costs 163.36 cordobas. This week will remain the same, starting at zero hours on Sunday, April 24.
Variation in oil prices
Regarding the update in the costs of oil at the international level, it was known that they had a variation in their prices. The price of brent oil it rose to $117.87, up some +$0.47 (+0.40%) from $117.40 at Thursday’s close in London.
Meanwhile he wti Oil, which is the reference for Nicaragua, this bass at $114.04shedding some -0.05 USD (-0.04%) vs. 114.09 at Thursday’s close in New York.
Despite this drop, fuels in Nicaragua —according to Ortega— should increase considerably next week, however they affirm that with the resources of the state they are assuming the strong increase.
According to economists, the freezing of fuels is helping to prevent further increases and prevents the economic crisis from being greater, however they point out that the future of the economy in the country is uncertain once Ortega unfreezes fuel prices.