The increase in fuel prices globally has affected many economies especially in Africa where other economic shocks like poor infrastructure, lack of energy and industries are virtually nonexistent.
This, at the end of the day, comes back to the ordinary person who has to endure high taxes, and increased fuel prices.
Therefore, the government’s decision to cut taxes on fuel which has led to reduction on pump prices to Rwf 1,025 as announced by the Minister of Trade and Industry on June 30 will greatly help reduce inflation and high prices of commodities in the country.
The reduction will also increase income and savings as much money has been spent on more commodities affected by mounting fuel costs such as food and others.
I anticipate that fuel dealers will immediately effect the new pump prices. This will not only reduce fuel prices but will also reduce commodity and transportation costs.
In addition, the recently hiked bus fare should equally go down.