economy 26 April 2026 Daily Monitor (Uganda)
Fuel Price Surge Sparks Nationwide Shortages and Price Hikes in Uganda
Skyrocketing fuel prices, triggered by the US-Israel-Iran war and Strait of Hormuz closure, have led to shortages at stations across Uganda, driving up transport fares and commodity costs. Businesses from produce trading to boda-boda operations are suffering losses amid uncertain supply. Source: https://www.monitor.co.ug/uganda/news/national/high-fuel-prices-push-commodity-prices-transport-high-countrywide--5436542
Uganda is grappling with a severe fuel crisis as prices soar due to the ongoing US-Israel-Iran conflict, which has closed the Strait of Hormuz. Petrol now sells for Shs6,900 to Shs7,000 per litre in cities like Arua, while diesel ranges from Shs5,780 to Shs6,000. Many fuel stations in urban areas have run dry, halting business.
The ripple effects are hitting hard. In Nebbi District, produce prices have jumped—a bunch of matooke now costs Shs18,000, up from Shs10,000, and beans Shs3,000 per kilo from Shs5,000. Traders like Beatrice Otim report halved stock purchases due to transport costs rising from Shs10,000 to Shs15,000 per sack from DR-Congo. Residents like Agness Akumu struggle with family meals as cassava flour hits Shs1,000 per kilo.
Transport operators are desperate. Boda-boda riders in Nebbi-Paidha charge Shs20,000, double before, with fuel at Shs8,000 per litre from dealers. In Kisoro, 30% of riders have quit, fearing crime spikes. Kabale taxi fares to Mbarara rose to Shs20,000 from Shs15,000. Mbale riders doubled charges to Shs4,000, while Jinja vendors hiked sugar to Shs4,400 per kilo and soap to Shs6,500.
Western Uganda sees similar pain: Fort Portal petrol at Shs5,450, Ibanda up to Shs8,000. Riders in Muhorro earn just Shs10,000 daily versus Shs35,000 previously. Soroti stations wave off petrol customers, and Arua taxis cram passengers at Shs15,000 fares. Fuel smuggling dynamics flipped, with Congolese buying cheaper Ugandan fuel.
Some areas like Acholi hold steady for now, but operators warn of imminent rises. No clear timeline for relief as US President Trump cites no war end date, and Iran deems reopening the strait impossible.
Source: Daily Monitor