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imatttttNAIROBI: Kenya energy regulator slashed the prices of petrol, diesel and kerosene on Saturday in east Africa biggest economy, citing a stronger shilling that helped make up for erratic international crude oil price movements.

The Energy Regulatory Commission cut the price of super petrol in the capital Nairobi by 7.11 shillings to 111.95 shillings ($1.28) per litre, of diesel by 3.08 shillings to 107.90 shillings and of kerosene by 3.63 shillings to 87.11 shillings per litre.

The new prices come into effect on Jan. 15.

The lower prices are expected to offer some relief from rising inflation. Rising fuel prices have in the past had a significant impact because many people rely on kerosene for lighting and cooking as well as on diesel and super petrol for transport.

In December the year-on-year inflation rate eased to 18.93 percent from 19.72 percent in November but was still up from just 4.51 percent in December 2010.

The shilling is off an all-time low of 107 to the dollar hit in October and closed on Friday at 87.35/55 against the dollar.

Copyright Reuters, 2012

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