The UAE Energy Ministry said on Monday it will lower October gasoline prices for domestic consumers.
The price of a litre of octane 95 gasoline will drop 8.7% to AED1.79 ($0.4874) from AED1.96 in September, the ministry announced on its Twitter account.
Meanwhile, the price of diesel for domestic consumers will rise to AED1.89 in October from AED1.86 in September.
The UAE began a policy of liberalised pricing for fuel in August 2015. Petrol and diesel prices are from then on being reviewed and reassigned for each month in the country.The new prices came into effect 1st of September, 2015.
“The decision to deregulate fuel prices has been taken based on in-depth studies that fully demonstrate its long term economic, social and environmental impact," His Excellency Suhail Al Mazroui, Minister of Energy, said in a recent statement.
"The resolution is in line with the strategic vision of the UAE government in diversifying sources of income, strengthening the economy and increasing its competitiveness in addition to building a strong economy that is not dependent on government subsidies," he added.
"This step will put the UAE on par with countries that follow sound economic methodologies. It is also anticipated to improve the UAE’s competitiveness while positioning the nation on international indices."