Syria Raises Fuel Prices by up to 40%, Protests Erupt Across Country

Syria's government has raised diesel prices by 40% and gasoline prices by up to 28%, sparking widespread unrest across the country. The move, announced on Saturday, has led to protests in several cities, including Damascus, Aleppo, Hama, Khan Sheikhoun, and Maarat al-Numan. Protesters have blocked highways, burned tires, and halted crude tanker convoys bound for refineries.

The Syrian Energy Ministry attributed the price hike to 'higher global procurement costs,' but experts say it's a result of a shortage in domestic refining capacity. The country produces around 102,000 barrels of oil per day, which falls short of its domestic demand of approximately 325,000 barrels. To cover this gap, Syria imports around 60,000 barrels of Russian crude daily.

However, Ukrainian attacks on Russian refineries have reduced Moscow's output and led to a restriction on diesel and gasoline exports. This has tightened the supply reaching Syria, just as the country's largest refinery, Baniyas, was forced to close for maintenance. The overhaul, which began this month, is expected to increase capacity from 80,000 to 130,000 barrels per day.

The move has exacerbated the already dire economic situation in Syria, where an estimated 90% of the population lives below the poverty line. The US has proposed a $5.7-billion pipeline project that would carry 2 million barrels daily and bypass the Strait of Hormuz.