Fuel prices increase by between 10 and 64 pct in Cape Verde

28 April 2006

Praia, Cape Verde, 28 April – Cape Verde’s Economic Regulation Agency (ARE) has updated fuel prices on the archipelago in order to accompany oil price rises, with increases varying between 10 and 64.4 percent.

According to the new price table, published Thursday in Praia, gasoline will now costs US$1.49 per liter (a 10 percent increase), while diesel will go up 20 percent to US$1.02 per liter.

At the same time the government announced it would take measures to reduce the impact of price rises by offering subsidies to certain activities, such as fishing.

Due to some backlash, particularly from the media, the government pledged to use salary updates, which is currently under discussion, to boost the population’s purchasing power.

The Cape Verde government for this year has forecast annual inflation of 2 percent and a public deficit of 4 percent of the country’s gross domestic product (GDP). (macauhub)