Bangladesh hints slight reduction of fuel prices in January

Bangladeshi Finance Minister AMA Muhith said on Wednesday that the government will go for slight reduction of fuel oil prices in January.

"Steps are underway to reduce prices of fuel oils by a small margin in January," he told journalists in Dhaka.

Bangladesh raised fuel oil prices in 2013 for the last time.

Although oil prices fell in global market in the 2013 subsequent years, the Bangladeshi government did not reduce their prices in local market in an apparent bid to support cash-strapped Bangladesh Petroleum Corporation to recoup the losses it had incurred previously selling fuel oils at subsidized rates.

At last in April this year, the Bangladeshi government slashed the furnace oil price from 60 taka a liter to 42 taka a liter.

The prices of diesel and kerosene were also then brought down by 3 taka a liter, and octane and petrol by 10 taka.

"We adjusted the fuel oil prices slightly (in April). Again we want to reduce prices by a small margin in January to spread the savings and the benefits to all," Muhith said.

He, however, said they are not in a position to go for a massive price cut this time as prices of fuel oil increased to some extent again this month. (1 U.S. dollar equals about 83 taka). Endit