KAMPALA, — Rising fuel prices in Uganda are being driven by global oil supply disruptions, geopolitical tensions and exchange-rate pressures that have increased import costs, businessman and former NRM Vice Chairman for the Eastern Region, Captain Mike Mukula, has said.
Speaking during a media interview on Tuesday, Mukula attributed the sustained increase in pump prices to conflicts involving Iran, the Gulf states, the United States and the Russia-Ukraine war, which he said have disrupted oil production, supply routes and global markets.
“The conflicts involving Iran, the Gulf states, the US and Russia-Ukraine have disrupted oil production, supply routes and global markets,” Mukula said, explaining that these external shocks are ultimately passed on to Ugandan consumers through higher import costs.
The former ruling party official noted that exchange-rate pressures have compounded the problem, making fuel imports more expensive for Uganda, a net importer of petroleum products.
Mukula’s remarks come amid growing public concern over the cost of living, with transport fares and commodity prices continuing to rise in tandem with fuel prices.
While he did not propose specific policy interventions, his comments underscore the vulnerability of Uganda’s economy to global geopolitical developments and currency fluctuations.
The businessman’s assessment aligns with broader economic analyses that link Uganda’s fuel price trends to international crude oil markets and the strength of the shilling against the US dollar.
Efforts to get a comment from the Ministry of Energy and Mineral Development were futile by press time.
