Huge change in fuel prices to come in Hungary

The fall in fuel prices seen in recent weeks could be lasting. This was revealed to Index by Eszter Bujdos, head of holtankoljak.hu. According to her, for oil-producing countries, this price level of around USD 80 can be appropriate.

According to the latest figures, the average price of petrol in Hungary is 616 forints per litre, while the average price of diesel is 624 forints. (We have reported on the lates fuel price change here.) This means that there are already petrol stations where the price of fuel fell below HUF 600, Index writes.

Fuel prices to keep decreasing

Eszter Bujdos, head of holtankoljak.hu, told Index that the trends show that fuel prices have been steadily decreasing in recent weeks. What is more, cheaper and automated petrol stations are already seeing the long-awaited price level. This is also surprising, Bujdos said, because earlier, the international and domestic market expected the new sanctions on Russia to have a price-lifting effect. However, this seems to have been delayed for the time being.

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“Looking at the trend, the current state of the forint against either the dollar or the euro shows a strengthening. This, in turn, will help to ensure that this decline is sustained, or stops at this level. However, the big issue will definitely be the price of oil,” Eszter Bujdos said. She added that these two factors will have a significant impact on Hungarian fuel prices.

The price of oil and the Hungarian forint

The recent rise in the forint has surprised economists, but the price of oil is affected by many things. These include the development of the Russian-Ukrainian conflict, the Chinese economy, or any other geopolitical event, Index writes.

“For oil-producing countries, this price level of around USD 80 is adequate, so they are not drastically cutting back production to push up prices,” Eszter Bujdos underlined.

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Source: index.hu, DNH