Tough times ahead for expatriates; Gulf countries mull new decision

DUBAI: There are indications that fuel prices in the UAE may fall again in August. However, this may not be reflected in petrol bunks in the country. There are also concerns about how the Middle East conflicts and market uncertainties will affect the monthly budget of expatriates.

Although there will be a slight decline in oil prices in August compared to July, the decline in petrol prices will be very slow. In the context of July's oil prices, prices in the UAE are likely to fall for the second consecutive month. Accordingly, Special 95 petrol may fall to about 3.13 dirhams per litre and Super 98 petrol to 3.24 dirhams. Last month, Super 98 was priced at 3.40 dirhams, Special 95 at 3.29 dirhams, and Eplus at 3.21 dirhams. Diesel is priced at 3.60 dirhams.

The wavering fuel prices in the past few months have significantly affected the financial security of expatriates. Although there was a slight relief in prices last month following the ceasefire between the US and Iran, the current situation is uncertain.

Due to political tensions in the global market and disruptions in shipping, oil prices are likely to rise again at any time. Experts estimate that the price of Brent crude will again exceed $90 per barrel in August. If the conflicts intensify, it may even go above $100.

While the small reduction in fuel prices may provide some relief to expatriates, the possibility of future increases in the cost of living and travel fares cannot be ruled out due to uncertainty in the international market. As even a small change in fuel prices can quickly impact expatriates, they will need to be more careful in managing their monthly expenses in the coming days.

The expatriate community is eagerly awaiting the new fuel price rates to be announced this week. While there may be some relief, the changes in the global market are expected to increase the financial burden on expatriates’ daily lives.