How Saudi Arabian Firm Tricked Ruto into Signing G to G Oil Deal

ByEditor

Dec 2, 2023

President William Ruto, Taifa Gas Group Chairman Rostam Aziz and Nyali Mp Mohamed Ali during the groundbreaking ceremony of the 30, 000 Metric Tons plant at the Dongo Kundu Special Economic Zone in Likoni, Mombsa County on February 24, 2023.PHOTO BY WACHIRA MWANGI

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The Kenya Kwanza government has been exposed after some details revealed that the Saudi Arabian firm that signed the oil importation deal with Kenya might have tricked them into extending the deal by one year. The government to government oil deal was meant to make oil cheaper in the country but since it was signed no changes have occurred.

According to a report shared in the Business Daily, the firm that made the deal did so as a precondition to renegotiate the prices of the multi-billion shilling oil importation agreement. The deal was reached after Kenya asked the Abu Dhabi National Oil Company to offer them flexible prices to match the global prices of oil. Global fuel prices have been dropping but Kenyans have not had the privilege of enjoying the lower prices.

Reason being that the Abu Dhabi National Oil Company cushioned its profit margin by signing an agreement that would see Kenya pay fixed rates for oil despite price fluctuations in the global oil industry.

This revelation has unearthed another possible secret that the Kenya Kwanza government has been hiding from Kenyans as a reason of the constantly rising cost of fuel.

People have been wondering why fuel prices are increasing daily while the global prices are falling but this could explain why Kenya is in a Catch-22 situation .