Nicaragua extends fuel price freeze for one week

Managua, July 16 (.). – The government of Nicaragua announced this Saturday that it will extend the freeze on fuel prices for another week to mitigate the impact of international increases in fuel costs.

The authorities of the Nicaraguan government decided to “carry 100% of the said increases” in the week of July 17-23, according to a decision by the Nicaraguan Institute of Energy (INE).

With this decision, the number of consecutive weeks in which fuel prices remained unchanged in Nicaragua was extended to 15.

According to the decision by the National Institute of Statistics, the cost of a gallon (3.78 liters) of premium gasoline used in light cars will remain at $5.16; And regular gasoline for old cars and SUVs at $5.04.

A gallon of diesel used in shipping and mass transit will remain at $4.55.

The Nicaraguan government has also decided to freeze the price of liquefied petroleum gas (LPG), one of the main fuels used for cooking in the country,” the National Statistics Institute noted.

The executive body reported that not updating fuel prices for transportation and cooking, in force since last April, costs between four and six million dollars per week.

Last Tuesday, Nicaragua’s National Assembly (parliament) allowed the executive branch to negotiate a loan with the Central American Bank for Economic Integration (CABEI) for $200 million to reduce the impact of the increase in fuel prices on Nicaragua’s economy.

CABEI had already announced that it had made the money available to Nicaragua, which is part of a line of credit of up to $800 million, arranged by the Central American Bank for Economic Integration (CABEI) to fund a regional support program ahead of the global surge. in fuel prices.

Fuel prices are set weekly by distribution companies based on changes in international prices for these derivatives, “in other words, these prices are not regulated by the state,” according to the National Institute of Statistics.