The Namibian government has announced an increase in fuel prices starting in April, as part of its monthly price adjustment mechanism.
The price of petrol will rise by 2.50 Namibian dollars per liter (approximately 0.14 US dollars), while diesel prices, across all categories, will increase by 4 Namibian dollars per liter. This decision was made public on Friday, March 27, by the Minister of Industrialization, Mines and Energy, Modestus Amutse.
According to the authorities, this increase is mainly due to geopolitical tensions in the Middle East, particularly involving the United States, Israel, and Iran. These tensions have led to a rise in global oil prices, as well as higher transportation and insurance costs. In addition, the Namibian dollar has depreciated against the US dollar: between March 1 and March 23, 2026, the average exchange rate stood at 16.62 Namibian dollars per US dollar, compared to 16 in February.
To mitigate the impact of this increase on households and businesses, the government has decided to temporarily reduce fuel taxes by half between April and June 2026. Furthermore, the National Energy Fund will contribute approximately 500 million Namibian dollars per month to absorb part of the additional costs.
"The objective is to limit price volatility and maintain a certain level of stability in the domestic market,” the minister said, as quoted by Ecofin Agency.
This measure comes as Namibia relies entirely on imported petroleum products, due to the lack of local refineries. Annual consumption is estimated at 1.1 billion liters, of which about 70% is diesel and 30% is petrol.
The minister also assured that current reserves are sufficient to cover between one and two months of consumption. He urged the public to avoid panic buying and excessive stockpiling, reminding that the illegal resale of fuel is prohibited and that its handling must comply with safety regulations.