Concern for Kenyans as global oil prices rise by 5 per cent ahead of the Energy Petroleum and Regulatory Authority’s (EPRA) monthly review, driven by renewed tension between the U.S. and Iran.

🇰🇪 Breaking It Down

Brent crude, a primary benchmark Kenya uses to price petroleum and crude oil imports, jumped more than 3 per cent this week, climbing back above Ksh9,823 (USD76) a barrel, its highest level since June 23.

The spike followed U.S. military strikes on Iran, launched after Washington accused Tehran of orchestrating attacks on three commercial vessels passing through the Strait of Hormuz, a key passage that accounts for nearly 21 per cent of global oil supply.

U.S. Central Command confirmed it had begun a series of strikes intended to punish Iran for targeting civilian shipping crews in the busy waterway.

📌 What You Need to Know

Iran has not officially claimed responsibility for the vessel attacks, though it has repeatedly warned ships against sailing routes it has not cleared.

The result was the U.S. cancelling a temporary waiver that had allowed limited Iranian oil sales, a move that Iran's deputy foreign minister, Vahid Jalalzadeh, described as a clear breach of last month's agreement.

Energy experts say crude supply through Hormuz could remain disrupted for months amid periodic flare-ups and constant ceasefire violations from both parties.

That uncertainty is already rippling across global markets, with Asian stocks in nations like Japan, China, and Taiwan trading unevenly as investors brace for prolonged instability in the region.

For Kenyan motorists and households, the timing could hardly be worse, with EPRA set to review pump prices on July 14.

Kenya, like most countries, depends heavily on imported crude, meaning sustained increases in global oil prices often translate directly into higher pump prices.

📰 Source: Kenyans.co.ke