Huge Zim fuel price hike amid short­ages

The Witness - - NEWS -

ZIM­BABWE has hiked fuel prices by ap­prox­i­mately 150% with ef­fect from mid­night last night as Pres­i­dent Em­mer­son Mnan­gagwa’s gov­ern­ment bat­tles with crip­pling short­ages that have seen mo­torists sleep in fuel queues.

Whole­salers said last week they were los­ing 15% in sales rev­enue ev­ery day they spend with­out fuel. In an ef­fort to find a so­lu­tion, Mnan­gagwa an­nounced the price of diesel will in­crease to $3,11 (about R43) per litre from $1,24, while petrol has gone up to $3,31 (about R46) per litre from $1,31 per litre.

In an­nounc­ing the new pric­ing regime, Mnan­gagwa said the new fuel prices are pred­i­cated on the need to keep fuel re­tail­ers vi­able.

Mnan­gagwa also an­nounced that for­eign­ers will have to pay in for­eign ex­change for their fuel.

“Guests of gov­ern­ment, by way of for­eign mis­sions and other reg­is­tered for­eign bod­ies and tourists, will fuel and re­fuel at des­ig­nated points at the prices of $1,24 (about R17) per litre for diesel and $1,32 (about R18) per litre for petrol, upon pro­duc­tion of proper iden­ti­fi­ca­tion doc­u­ments.”

He said gov­ern­ment will also cush­ion busi­ness and con­sumers from an ex­pected new wave of price in­creases for ba­sic prod­ucts and trans­port fares.

“Gov­ern­ment has de­cided to grant a re­bate to all reg­is­tered busi­nesses [in var­i­ous sec­tors in­clud­ing the trans­port sec­tor].”

“Given these cost mit­i­ga­tions and in­cen­tives, gov­ern­ment does not ex­pect and will not al­low, busi­ness to trig­ger a new round of price in­creases,” said Mnan­gagwa. — Fin24.

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