Cyprus faces sharp fuel price increases within 10-15 days following a steep surge in global oil prices triggered by an Israeli hit on Tehran on Friday, according to the Cyprus Petrol Station Owners Association.

Savvas Procopiou, president of the association, confirmed that price rises are inevitable after oil prices jumped more than $10 per barrel within 48 hours following Israeli hit against Iran. “Unfortunately, an increase is expected, and this time the increases will be rather steep,” Procopiou said.

The timing of fuel price adjustments typically occurs 10-15 days after global barrel prices rise, though the Ministry of Energy and importing companies determine the precise implementation schedule based on cargo delivery schedules, Procopiou explained. Petrol station owners “simply follow the prices” set by suppliers.

Economist Tasos Yiasemides warned that renewed Iran-Israel confrontation introduces fresh volatility into international markets, with oil prices among the first commodities affected. The escalation comes during a period when oil prices had declined significantly and oil-producing nations had announced increased production and supply.

“The intensity and scale of consequences will depend on the duration of the confrontation and the magnitude of military operations,” Yiasemides said. Iran continues to concern the global community due to its nuclear programme and involvement in military conflicts through paramilitary groups, according to statements from Israel and the United States.

The regional instability has driven increased demand for safe investment assets, with gold leading the trend. Gold markets have strengthened significantly in regions including the Middle East and Asia as protection against potential political upheaval and currency destabilisation.

Fear of unpredictable conflict in the region maintains elevated demand for secure investment instruments, with gold prices reflecting this flight to safety among investors concerned about broader geopolitical implications.