New Sh10bn fuel subsidy piles cash flow pressure on marketers
Nairobi, June 15 -- A record-high subsidy on diesel products for the current monthly pricing cycle to July 14, 2026, will cost an estimated Sh10 billion, adding to the cash flow woes facing oil marketers amid delayed State compensation for selling fuel at below the gazetted prices.
A senior government official in the energy sector disclosed that the Sh10 billion will also include the subsidy of Sh55.68 per litre applied on kerosene.
"The June-July subsidy is Sh10 billion. We have tried to clear all the previous ones except this current one," the official who sought anonymity due to sensitivity of the matter told Business Daily on Monday.
Diesel accounts for more than 95 percent of the bill given that the State applied a record subsidy ...
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