Pulse.com.gh logo
Go


Ghana Oil Prices Ghana saves $500mil in oil imports in 2015

Figures from the Bank of Ghana show that last year Ghana imported a little above $2 billion worth of oil, which includes crude oil, gas and refined products into the country as against more than US$3.54 billion the previous year.

  • Published: , Refreshed:

Ghana’s expenditure on oil imports for 2015 has taken a giant tumble to $1.54 billion, about 500 million dollar- reduction from 2014's $2 billion.

This has been attributed to the drastic fall in fuel prices in 2015 and early 2016.

A barrel of crude on the  on the international market is currently $30.

Apart from the reduction in price, a considerable reduction in demand is one of the reasons for the tumble  in the export bill.

Figures from the Bank of Ghana show that last year Ghana imported a little above $2 billion worth of oil, which includes crude oil, gas and refined products into the country as against more than US$3.54 billion the previous year.

The savings made on oil imports is thus almost two times more than the ₵2.7 billion at an exchange rate of ₵3.8 oil revenue the country is estimated by the Finance Minister to have lost from crude oil exports in 2015 following the dramatic drop in crude oil prices.

However, Ghanaian consumers are livid that at ₵3.499 a litre for premium fuel (petrol), it is sold at the same price as when crude oil traded at $115 a barrel - due to the introduction of additional taxes on petroleum products since January 2 this year.

Workers, through organised labour in particular, have met the increase in fuel prices with street demonstrations to force government to scrap the recently introduced energy levies in order to force a reduction in fuel cost - an action government has rebuffed to protect its reliable revenue stream.

The Finance Minister has reiterated that the crash in crude oil prices has had a major shock to the economy, as government has had to revise its revenue targets downward and cut its budget spending by ₵1.5 billion.

Currently, concerns are rife in the corridors of policymakers that slowing economic growth, crude oil supply glut, increases in global inventories, and the prospective impact of Iranian crude oil entering the market will continue to keep crude oil prices1 relatively low - heightening the fears of government over revenue shortfalls.

Do you ever witness news or have a story that should be featured on Pulse Ghana?
Submit your stories, pictures and videos to us now via WhatsApp: +233507713497, Social Media @pulseghana: #PulseEyewitness & DM or Email: eyewitness@pulse.com.gh.

Recommended Articles