The Gambian government has announced substantial fuel subsidies for April 2026 to shield consumers and businesses from rising global oil prices, driven by escalating conflict in the Middle East and disruptions to key shipping routes such as the Strait of Hormuz.

In a statement issued by the Ministry of Petroleum, Energy and Mines on Friday, officials said pump prices set at the beginning of this month will be pegged at 98 Gambian dalasis (about $1.32) per litre for petrol and 95 dalasis per litre for diesel.

Without the subsidy, indicative domestic prices for April would have risen to 101.29 dalasis per litre for petrol (a 22.8% increase from current levels) and 124.72 dalasis per litre for diesel (a 47.4% surge). The ministry attributed the rises to volatility in international fuel markets.

To prevent these costs from being passed on to consumers, the government is subsidizing petrol by 3.29 dalasis per litre and diesel by 29.72 dalasis per litre. The total subsidy package for the period is about $4.27 million, a measure aimed at easing the burden on households and the broader economy.

The move follows an adjustment that took effect on April 1. Petrol rose from 82.5 dalasis to 98 dalasis per litre (an 18.8% increase), and diesel from 84.6 dalasis to 95 dalasis per litre (a 12.3% rise), local reports said.

The Gambia, a West African country of roughly 2.8 million people with no domestic oil production, depends almost entirely on imported petroleum products. Fuel prices directly affect transport, agriculture, fishing, tourism and electricity generation, sectors that support the economy in a country where many households already face high living costs and limited access to reliable power. 

Subsidies are a recurring policy tool to curb inflationary pressures from external shocks and maintain social stability. The Ministry said the measure demonstrates "the government’s commitment to protecting consumers and businesses from the volatility of the global energy market." Officials added they are working with oil marketing companies and other stakeholders to ensure steady fuel supply and will monitor international developments for any further action.

The latest subsidy comes as many oil‑importing African economies grapple with spillover effects from the Middle East conflict, which has pushed global oil prices higher and strained supply chains for fuel, fertilizer and other essentials. While the short‑term relief helps contain transport fares and food prices, repeated fiscal interventions place additional pressure on public finances in a resource‑constrained country