The price of gasoline has dropped below NIS 7 per liter for the first time in two years.
The maximum price of government price controlled 95 octane gasoline at self-service pumps in Israel will fall on Wednesday at midnight January 1, 2026, by NIS 0.26 per liter to NIS 6.85 per liter, the Ministry of Energy and Infrastructure has announced. The charge for service at pumps will remain NIS 0.25 per liter.
The price in Eilat (where there is no VAT) will fall by NIS 0.23 per liter to NIS 5.80 per liter. The charge for service at pumps will remain NIS 0.21 per liter.
Ministry of Energy and Infrastructure Fuel Authority managing director Bat Sheva Abuhatzira says, “For the first time in the last two years, the price of gasoline has dropped below NIS 7 per liter. This is a significant fall, resulting from an approximately 11% fall in international gasoline prices in the Mediterranean region, due, among other things, to an excess supply of refined products in the international market, a decline in demand for gasoline, and a decline in the geopolitical risk premium.”
Since the beginning of 2025, the price of gasoline has fallen by NIS 0.35 per liter, down from NIS 7.20 in January 2025. For the sake of comparison, the most expensive that 95 octane gasoline has been recently was NIS 7.90 in May 2024 and the cheapest was NIS 6.81 in April-May 2023, partly due to a temporary cut in excise tax.
Published by Globes, Israel business news – en.globes.co.il – on December 30, 2025.
© Copyright of Globes Publisher Itonut (1983) Ltd., 2025.
Gas station credit: Tali Bogdanovsky
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