Poland caps fuel prices, after several European countries have adopted this measure.

Poland will implement a maximum price for fuels starting Tuesday, setting a cap of 6.16 zlotys (1.65 dollars) per liter for unleaded gasoline 95 and 7.60 zlotys (1.91 dollars) for diesel. Prime Minister Donald Tusk also announced a reduction in the VAT on fuel from 23% to 8% and a decrease in excise duties to the minimum level allowed by EU regulations, which could lead to a price drop of about 1.2 zlotys (0.32 dollars) per liter.

The Polish government will set daily maximum prices, and Tusk mentioned the possibility of imposing an exceptional tax on the profits of oil companies. The reduction in VAT could cost the budget 900 million zlotys (242.88 million dollars) per month, and the decrease in excise duties is estimated at 700 million zlotys per month.