Restrictions on shipping through the Strait of Hormuz, a critical global oil transit route, and ongoing security risks in the region have sustained upward pressure on prices.
Analysts warn that any escalation in tensions could further strain supply chains and push prices higher.
Murban crude, a key benchmark for Kenya’s oil imports, rose to about KSh 11,730 per barrel on April 9, up from approximately KSh 11,616 per barrel on April 1.
The figures are based on an average exchange rate of KSh 129.86 to the US dollar, reflecting the continued impact of global market dynamics on local fuel costs.
The rise in international oil prices is likely to have a direct effect on domestic fuel prices, with consumers awaiting EPRA’s next review to determine adjustments at the pump.
Higher global prices, combined with exchange rate fluctuations, typically translate into increased costs for import-dependent economies such as Kenya.
Industry observers note that Kenya’s reliance on imported petroleum products makes it particularly vulnerable to external shocks.
As a result, developments in global oil markets, especially in politically sensitive regions like the Middle East, often have immediate implications for local pricing.
The CBK bulletin highlighted that global energy markets remain volatile, with supply uncertainties continuing to outweigh stabilising factors.
While some analysts had anticipated a gradual easing of prices, recent developments have reversed those expectations, keeping prices on an upward trend.
The situation has raised concerns among consumers and businesses, particularly those in transport and manufacturing sectors, which are heavily affected by fuel costs.
Any increase in pump prices is expected to ripple through the economy, potentially raising the cost of goods and services.
Economists have cautioned that sustained high fuel prices could contribute to inflationary pressures, complicating efforts to stabilise the cost of living.
They have also pointed to the importance of monitoring global trends closely, as shifts in supply or geopolitical developments could quickly alter the outlook.