DAR ES SALAAM (Reuters) - Tanzania lowered on Wednesday the cap on retail petrol and diesel prices in the east African economy, the utilities regulator said, putting further downward pressure on already easing inflation.
The state-run Energy and Water Utilities Regulatory Authority (EWURA) cut the price of petrol in the commercial capital Dar es Salaam by 13.30 percent to 1,994 shillings per litre, and lowered that of diesel by 8.96 percent to 1,993 shillings.
The price of kerosene remained unchanged at 1,950 shillings per litre.
The price changes take effect immediately, EWURA Director General Haruna Masebu said in a statement.
Food and fuel prices are the main drivers of inflation in east Africa's second-biggest economy.
Year-on-year inflation fell for the eighth straight month in August to 14.9 percent from 15.7 percent a month earlier.
EWURA said it had also lowered wholesale prices for petrol by 13.76 percent and diesel by 9.29 percent.
Tanzanian Shilling Exchange Rate