Sharp Hike in Petrol-Diesel Prices; Burden on Common Man Increases in Neighboring Country

A sharp rise in fuel prices has occurred in a neighboring country of India, leading to significant hikes in the costs of petrol, diesel, kerosene, and gasoline. Here is the reason behind it.

In Bangladesh, a neighboring country of India, the government has implemented a massive 17.4% hike in the prices of petroleum products. This has increased the financial burden on the common man and business owners, who are already grappling with electricity and gas shortages. The Bangladeshi government has cited the ongoing conflict in West Asia, rising global crude oil prices, and increased shipping costs as the reasons for the hike in petrol and diesel prices.

Under the new rates, diesel prices rose by 17.4%, climbing from 130 Taka to 135 Taka per liter.
Additionally, petrol prices increased from 140 Taka to 160 Taka.
Kerosene prices rose from 135 Taka to 155 Taka.
Furthermore, the price of octane gasoline increased from 165 Taka to 165 Taka.

Sharp Surge in International Crude Oil Prices

The Ministry of Energy stated that international crude oil prices have doubled since March 2026. Additionally, freight costs have surged significantly due to internal instability within the country. Consequently, the people of Bangladesh are facing difficulties.

Increased Prices Effective Today

The hiked fuel prices came into effect today (September 21, 2026), raising concerns about increased transportation and production costs. This poses further challenges for the import-dependent nation, as industries are already struggling with a severe energy crisis; the garment export sector—a major contributor to the country's revenue—has been particularly hard hit. What is the Bangladesh government's response?

The Bangladesh government had previously raised fuel prices in April and June. At that time, too, the government hiked prices, citing rising global oil costs as the reason for the increased import expenses.

The Ministry of Petroleum stated that the government has continued to provide subsidies on LNG despite the severe energy crisis. It noted that the government has maintained the supply of electricity and gas even as imports face a major crisis due to the regional energy shortage.