Africa's Economic Pain Deepens Amid Global Fuel Crisis It Didn't Create
Africa is once again bearing the brunt of a global economic crisis it played no role in creating. From the COVID-19 pandemic to the Ukraine war and now the Middle East conflict, the world's fastest-growing continent finds itself at the painful end of international ripple effects.
Fuel Prices Soar Across African Cities
In Lagos, Nigeria, taxi driver Adegbola Isaac visited the gas station twice last weekend. Each time, the price had climbed further, reaching 1,350 naira ($0.99) per liter - a nearly 35% increase since the Iran war began in late February. "It is hitting hard," Isaac told The Associated Press, explaining that the price surge has wiped out most of his daily profit.
Isaac represents millions across Africa who are reeling from economic impacts of the faraway conflict. The closure of the Strait of Hormuz has triggered fuel price hikes that worsen existing hardships in some of the world's poorest households.
Continent Critically Integrated Into Global Economy
With most African countries being net importers of refined oil products, the impact has been swift and severe. Rising retail fuel prices have triggered associated increases in the costs of most goods and services across the continent.
"Africa is the epicenter of overlapping global crises," according to a 2025 UNCTAD report. The document reveals that more than half of the continent's imports and exports are with just five non-African countries, leaving African economies highly exposed to international shocks.
Nations Struggle With Supply Disruptions
The fuel crisis has created immediate challenges across multiple African nations:
- All of Kenya's fuel comes from the Middle East, particularly the United Arab Emirates, with 20% of the country's outlets already affected
- Uganda's fuel stock was initially projected to last only a few weeks
- South Africa sources significant fuel from Saudi Arabia, causing panic-buying in diesel-dependent industries
- Nigeria, despite being Africa's largest oil producer, lacks local refinery capacity and relies on importing refined products from Europe
Beyond Fuel: Fertilizer and Agriculture Impact
The crisis extends beyond transportation to agriculture and food security. Access to fertilizer across Africa, including conflict-wracked countries like Sudan and Somalia, is set to be impacted according to UNCTAD.
Kenya's flower industry has reported weekly losses of up to $1.4 million since the Iran war began, with growers attributing the losses to declining demand and shipping disruptions.
Governments Scramble for Alternatives
With the global squeeze in oil supply, African governments have begun exploring alternative routes for fuel supplies. Several countries including South Africa, Kenya and Ghana have reached out to Nigeria's Dangote Refinery for fuel deals.
The Dangote refinery recently announced completion of 12 shipments of refined petroleum products to several African countries including Ivory Coast, Cameroon, Tanzania, Ghana and Togo - a first at that scale since reaching full capacity earlier this year.
"As long as there is a steady supply of crude oil, the refinery has the capacity to meet some of the needs from across the continent," said Olufola Wusu, a Lagos-based oil and gas expert.
Uncharted Territory if Conflict Persists
Experts warn that prolonged conflict could push Africa into unknown economic territory. "If the conflict persists for another month or two, honestly, we're going to be in unknown terrain that no one can really predict," said Zainab Usman, a senior research scholar at the Center on Global Energy Policy in New York.
The United Nations is pursuing ways to allow fertilizer to resume safe transit through the Strait of Hormuz, hoping this would build confidence in wider diplomatic efforts around the Iran war.
Daily Life Disrupted Across Continent
In Zimbabwe, health labor workers protested for wage increases as living costs rose sharply. The government plans to increase fuel blending with ethanol from 5% to 20%, despite concerns about vehicle damage and increased pollutant emissions.
Washington Nyakarize, an informal cellphone trader in Harare, has altered his work patterns: "I now avoid going into town during peak hours because the fares are too high. If I go later, the charge is a bit lower, but I lose business because most customers come early in the morning."
As Africa navigates this latest global crisis, the continent's vulnerability to international events it didn't create continues to challenge development and stability across its 54 nations.
