The transport sector heads into the month of June with a bit of relief, with motorists set to pay less for both petrol and diesel.

The price of petrol will decrease by 30 cents per litre, while prices of both diesel variants, Diesel 50ppm and Diesel 10ppm will decrease by 70 cents per litre.

The fuel price reductions comes after the Ministry of Mines and Energy recorded over-recoveries on both petrol and diesel prices.

During the month of May, diesel prices decreased globally due to a combination of oversupply fears and weakening demand. OPEC has also signalled a potential increase in production, raising concerns about a saturated market and further depressing prices.

Global economic uncertainty exacerbated by trade tensions also contributed to reduced crude demand.

Despite changes in the international oil prices, the Namibia dollar has strengthened against the US dollar. From the 1st of May to the 22nd, the average exchange rate was N$18,21 per USD, reflecting a 3,6 percent appreciation compared to the full-month average rate of 18 Namibia Dollars 90 cents recorded in April.

This appreciation improves the purchasing power for fuel imports, helping to moderate the impact of global price fluctuations on local fuel costs.