PHNOM PENH, Oct. 11 (Xinhua) -- Retail gasoline prices in Cambodia continued to surge on Sunday while diesel saw a slight drop, according to the latest Ministry of Commerce announcement.
From Oct. 11 to 21, the price of regular gasoline will rise 3.8 percent to 5,350 riels (1.31 U.S. dollars) per liter, up from 5,150 riels (1.27 dollars) during the previous 10-day period. Conversely, diesel prices fell 1.7 percent to 5,550 riels (1.36 dollars) per liter, down from 5,650 riels (1.39 dollars).
Driven by the Middle East conflict since late February, regular gasoline and diesel prices in the kingdom have so far jumped by 38.9 percent and 44 percent, respectively, according to the Ministry of Commerce.
To cushion the economic impact, Cambodian Prime Minister Hun Manet said on Wednesday that the government has injected nearly 500 million dollars in subsidies to curb rising fuel costs and stabilize electricity prices. He affirmed that these subsidies will remain in place as long as global fuel markets remain elevated.
The Southeast Asian nation relies entirely on imported petroleum and diesel, as its offshore oil reserves remain unexploited.
Thong Mengdavid, deputy director of the China-ASEAN Studies Center at the Cambodia University of Technology and Science, said that soaring energy costs are hitting local logistics and manufacturing.
"This surge is driving domestic inflation and eroding consumer purchasing power, with food and agricultural products taking the hardest hit," he told Xinhua. ■