Fuel prices slashed

Zimbabwe has moved to slash fuel prices.

They are as follows:

Petrol – $1.35
Diesel – $1.23
Paraffin – $1.17

On Monday, government also reduced excise duty on fuel. Petrol was reduced by 6,5 cents per litre from 45 to 38,5 cents. Diesel and paraffin declined from 40 to 33 cents.

Prices will be adjusted as market forces demand says Energy and Power Development Minister, Simon Khaya-Moyo.

In a post on on Facebook, Finance and Economic Development deputy minister Terence Mukupe said:

For the time being we are benchmarking ourselves with Zambia. Our fuel has to become cheaper than that of Zambia if we are to become competitive from a logistics viewpoint. We have in essence given a $50 million subsidy to industry and we hope this will translate to a drop in basic commodities like beef, bread and cooking oil. More bold measures in the offing…

Do you think this will assist in dealing with price increases.