Government Extends Fuel Excise Duty Cut Amid Ongoing Iran Conflict

In light of the ongoing conflict in Iran, the government has announced an extension of its previously implemented fuel excise duty cut, set to last an additional 21 days. Sources familiar with the matter revealed that while the cut for diesel will remain unchanged at 20 cents per liter, the reduction for petrol will be adjusted to 5 cents per liter. This decision, expected to be confirmed by the cabinet, aims to alleviate the financial impact on citizens and businesses affected by the rise in fuel prices due to the Iran war. The measures are anticipated to support transportation costs and help stabilize the economy during this turbulent period. To finance this extension, the government will utilize funds generated from antitrust fines and VAT revenue, ensuring that the budget remains balanced while supporting the needs of the public. These fiscal strategies reflect an adaptive approach to economic challenges posed by international events. In addition to the fuel cut, the government is also in discussions with trade associations to outline a broader set of measures designed to assist the road haulage industry, which is crucial to maintaining supply chains and supporting the economy. These measures will be included in a forthcoming legislative provision. As the situation in Iran evolves, the government remains committed to monitoring fuel prices and implementing further adjustments as necessary to protect consumers and ensure economic stability. Related Sources: • Source 1 • Source 2