Even halving the excise tax would not yield a tangible result in terms of returning gasoline and diesel prices to the levels seen just six months ago – Giorgi Kakauridze

According to Deputy Minister of Finance Giorgi Kakauridze, halving the excise tax on oil would reduce fuel prices by approximately 25 tetri; however, this change would not significantly adjust gasoline and diesel prices relative to the levels prevailing on the international market.

Kakauridze made this statement during a joint committee meeting in response to a question from Giorgi Sharashidze, an MP representing the "Gakharia – For Georgia" party. Sharashidze had inquired about the possibility of the government considering temporary excise tax relief on oil.

"Let’s assume we halve the excise tax on oil; the impact would be 25 tetri. Yet, developments regarding oil prices could occur overnight that might subsequently alter the situation. Unfortunately, we lack the leverage—whether through excise taxes or other measures—to significantly alter prices in the face of international market trends," Kakauridze stated. He also stated that, given the fluctuations in fuel prices over the past six months, the impact of halving the excise tax is insufficient to bring gasoline and diesel prices back to the levels seen six months ago.

"It is crucial that the uncertainty surrounding oil—both in our region and on the global market—gradually subsides, as this should lead to the stabilization of oil prices," the Deputy Minister of Finance noted.