Senegal: in front of the press, the government evokes inflation

Audio 01:24

Since June 5, the price of premium fuel has gone from 775 to 890 CFA francs in Senegal, a consequence of the war in Ukraine.

Here, a gas station near Dakar, January 18, 2016. (illustration image) © Seyllou / AFP

Text by: RFI Follow

2 mins

While Senegal claimed that “

rebels

” from the Mouvement des Forces Démocratiques de Casamance were arrested during a demonstration on June 8, organized by the opposition coalition Yewwi Askan Wi.

Government spokesman Oumar Guèye did not give details, but he warned: "Those who seek to destabilize the country will become disillusioned," he said.

A statement made during a meeting of several ministers with the press on Friday.

Among the other topics discussed: the impact of the Ukrainian crisis on the prices of hydrocarbons and basic necessities.

The government wants to be reassuring.

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With our correspondent in Dakar,

Charlotte Idrac

There will be no shortage of bread, even months of price increases

 ," says Abdoulaye Daouda Diallo.

Concerning energy, the Minister of Finance and Budget returned to

the increase in the price at the pump of premium fuel

 : since June 5, it has gone from 775 to 890 CFA francs per liter (i.e. 1.20 to 1 ,30 euros).

Diesel is not affected, he says:

“ 

We had built our budget on a barrel price of 75

dollars.

Today, this price per barrel, it is around 110. This is the situation in which we are.

As far as diesel is concerned, if we touch that price, diesel has an impact on transport, of course has an impact on business productivity, globally, and will have an impact on the entire economy.

 »

While many households are concerned about the cost of living, " 

inflation is difficult for all countries in the world

 ", continued the Minister.

He pointed out, however, that the prices of basic products - rice, sugar, oil - are

supported by subsidies

.

The state had to make an effort, he says:

“New needs 

for subsidies, new expenses.

Indeed, they must be financed by widening the deficit, an increase in revenue, but also a readjustment.

Very few capital expenditures have been affected, so it is rather at the level of operating expenditures in general that efforts have been made.

 »

The International Monetary Fund (IMF), however, has asked Senegal to " 

limit subsidies in the energy sector

 ": " 

It's impossible

," replied Abdoulaye Daouda Diallo.

The IMF cannot make injunctions to us with regard to our policy

 ”.

► 

Also to listen: 

Inflation: why are prices rising?

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