Jun 29, 2022
Uber Hikes UAE Fares as Petrol Prices Surge in Key Oil Producer
(Bloomberg) -- Uber Technologies Inc. raised fares in the United Arab Emirates amid a surge in gasoline prices that have outpaced increases in neighboring oil-rich states.
The ride-hailing company will charge as much as 11% more for some trips, it said in an email to customers. The hike is Uber’s second this year in the UAE, where petrol is three times more expensive than in Kuwait and almost double the average cost per liter in the six-member Gulf Cooperation Council.
Prices in the UAE, which are adjusted based on market costs, have surged 56% since the start of the year. Other countries in the key oil-producing region subsidize fuel to varying degrees. Saudi Arabia is the biggest OPEC producer and UAE is third, followed by Kuwait.
Still, while UAE prices are higher relative to the region, they’re well below the global average of $1.47 a liter, according to data from globalpetrolprices.com. Petrol costs $1.37 a liter on average in the US, and $2.32 in the UK.
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