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Poor, pensioners in the middle of the hardest price gap: Economist – SABC News

Economist Dr Iraj Abedian said the poor and retirees are part of it the most difficult by the high price point and oil prices in South Africa as prices of goods and services continue to rise.

Motorists can expect more pain in the pump this week as the government announces another dramatic fuel price hike for July. The Department of Mineral Resources and Energy says that All fuel prices will go up between R2.37 and R2.57 per liter.

Diesel fuel levels will increase from R2.32 while paraffin sees an increase of R1.66 per liter.

Abedian said it was handcuffed by the government.

“The government is really stuck between the rocks and the hardwoods, they have no money in the budget to continue to provide funding for fuel. They at the same time forgave almost 20 years to access to such a national transport network and relying on fuel as an economically viable economy.We do not work very hard in terms of transportation, so all this means that the government has no choice “but not to transfer money to customers during times of stress.”

SABC News economic editor Tshepo Mongoai said farmers were struggling with an increase in entry price:

Meanwhile, spokesman for the Automobile Association of South Africa Layton Beard said the government should urgently monitor fuel prices in the country.

High oil prices have been hit by a weak rand / dollar exchange rate, boosting Brent Crude oil prices on the back of a row between Ukraine and Russia, and a sharp rise in China, among others. other things.

The increase in fuel prices comes as a reduction of 75 government cents and fuel taxes to help consumers struggle will end on 3 August 2022.

“Significant increases in oil prices are still increasing in international oil prices and that is due to the conflict in Ukraine which helps supply and demand pressure. As long as this conflict is not resolved , an increase in the price of oil in South Africa and other countries is still possible.We understand that the government has little control over global oil prices and the rand / US dollar price, which is why we call and continue to turn in for fuel price monitoring, where the government controls fuel. price. “

Poor, pensioners in the middle of the hardest price gap: Economist – SABC News

Source link Poor, pensioners in the middle of the hardest price gap: Economist – SABC News

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