If you could chose any place in the world to fuel your vehicle, it would surely be in one of the ten countries with the cheapest gas prices. Filling up the tank will cost consumers considerably less in these nations than anywhere else on the planet, making car ownership much more affordable. The reason these countries can offer their citizens such low prices is simple: as major oil producers, there is an abundance of the treasured commodity. Thus, anything that is not exported, is sold domestically at a bargain.
Apart from producing a great deal of oil, the countries with the cheapest gas prices rarely boast a diversified economy. In other words, while oil is cheap and abundant, everything else tends to be expensive. In some cases, the oil industry is so dominant that even agriculture is neglected, forcing nations to import food and other basic necessities. Thus, the benefits of low gas prices can be limited, especially when households end up spending the difference on food, housing, or other goods.
In order to reach some kind of relevant conclusion, we recommend you also read our previous post regarding the countries with the highest gas prices. This will not only allow you to get a better idea of where oil is abundant, but also to understand the limited benefits of living in the countries with the cheapest gas prices. As you will see in the following list, many of these nations have poor living standards and often suffer from economic instability.
The states who rely excessively on oil exports are in a particularly tough spot, as their economy is heavily tied to the price of crude. Hence, gas prices might be low, but exposure to international market trends makes these countries vulnerable, often producing crises and economic turmoil. Nevertheless, the following list also includes countries that have managed to escape the curse of abundant oil, boasting a solid and diversified economy, in addition to low fuel prices.
10. Russia – $3.24 per gallon
Although economic sanctions have led to an increase in gas prices, Russians can still purchase fuel at a very low cost. After all, as the world’s largest oil producer, Rusia has more than enough gas to go around.
Russia’s Cold War rival is next on our list of the countries with the cheapest gas prices. Read on to find out the rest.
9. United States – $2.93 per gallon
Unlike most of the other countries in this list, the United States has a highly diversified economy. The historically low gas prices have produced huge benefits for households and industry alike.
8. Malaysia – $2.48 per gallon
Malaysia might not be a huge oil producer, yet it still boasts some of the lowest gas prices in the world. This is possible thanks to the huge subsidies the government has put in place.
7. Nigeria – $2.26 per gallon
Although gas is cheap in Nigeria, most of the population cannot afford it. Oil exports generate vast wealth, yet due to social inequality, the benefits of being a major producer are limited.
6. United Arab Emirates – $1.77 per gallon
Oil is just about the only reason the United Arab Emirates has turned from a poor desert region, into a powerful economy. Nevertheless, most goods must be imported, meaning a great deal of wealth flows back out of the country.
5. Iran – $1.42 per gallon
In addition to being one of the world’s largest oil producers, Iran’s domestic gas prices were lowered by substantial subsidies. How long this will last is doubtful, as economic sanctions continue to reduce oil revenues.
4. Egypt – $1.38 per gallon
Large subsidies make gas very cheap for Egyptians, yet they also have a huge negative impact on the country’s finances. Unless something changes, the government will continue sinking in deficit.
3. Kuwait – $0.79 per gallon
Oil exports make up around 50% of Kuwait’s GDP and more than 95% of the government’s income, making it a highly petroleum-dependent nation. The lucrative business has allowed the state to fund one of the world’s largest gas subsidies, making it very cheap for car owners to fill up the tank.
2. Saudi Arabia – $0.45 per gallon
Saudi Arabia’s oil production has made it incredibly rich, and part of that wealth has been passed on to the population in the form of gas subsidies. Hence, it is not surprising to learn that the Saudis consume gas without much concern.
1. Venezuela – $0.04 per gallon
Venezuela might not be very wealthy, yet low gas prices are guaranteed. It is not only cheap, but practically free, to fill up the tank, meaning fuel efficiency is one of the lowest priorities for Venezuelans. After all, who cares about gas mileage when a full tank costs $1.50?
