As the world’s energy markets continue to fluctuate, motorists and policymakers are turning their attention to the latest petrol price outlook for February 2026, with analysts suggesting a modest upward trend could be on the cards driven largely by international crude movements and global supply-demand dynamics.
According to recent reports from Khaleej Times, petrol prices in the UAE — a market closely tied to global oil trends — are likely to edge higher in February, reflecting a rebound in crude costs after a period of relative stability. Brent crude, the international benchmark, averaged above US $63 per barrel in January, up from around US $61 in December 2025, pushing fuel pricing committees to consider slight adjustments at the pump.
This anticipated shift comes amid broader global forecasts that see oil markets balancing between supply growth and rising demand. While some projections point to downward pressure through 2026 due to increased output and slower consumption growth, geopolitical tensions and periodic supply disruptions continue to inject volatility into crude benchmarks.
Domestic Impact and Inflation Linkage
In India, where petrol prices are market-linked and revised daily based on international crude movements, even modest shifts abroad have immediate local impact. Current retail petrol in major Indian cities such as Mumbai hovers above ₹100 per litre, with fluctuations largely influenced by global benchmarks, exchange rates and domestic tax structures.
Fuel analysts note that any rise in petrol prices can ripple into broader economic indicators. Petrol cost increases often contribute to transport inflation, pushing logistics and food distribution costs higher, which in turn can affect retail prices of essential goods. Fuel inflation has historically maintained a positive correlation with the wider inflationary environment in India.
Market Watch Ahead
Energy economists advise motorists to prepare for a possible incremental rise in February pump rates, though significant spikes remain unlikely barring sharp geopolitical escalation or sudden supply shocks. With oil demand projected to grow this year even as supply expands, the petrol price narrative in early 2026 is expected to remain cautious yet sensitive to global developments
Consumers are urged to monitor daily price notifications and plan travel budgets accordingly as the nation heads into the February pricing cycle.
