Rising fuel prices directly contribute to inflation, as demonstrated by Kenya's inflation rate increasing from 4.4% in April to 5.6%, with projections suggesting it could reach 6-7% if the trend continues; governments must balance the need to raise fuel prices with managing inflation through collective policy interventions.
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CS Wandanyi; How do we raise fuel prices as a government? we are also feeling itAdded:
Welcome back to News Desk. We continue with our coverage on what's happening around the country with pain at the pump and even as many cities around the country are shut down because of lack of movement due to those high fuel prices.
We still look for the answers in all of this. CS Treasury John Body had a word earlier and we still cross over to continue with that. How would we raise prices of petroleum product? As a country, we are also feeling it because you see what people need to understand is high fuel prices causing inflation in the country. We have basically been managing inflation very well up to the month of April at 4.4%. Now it has shot up to 5.6 and if this continues, it will go even to 6-7%. That's not desirable for us. That's not what we want as a country. It is only because it is a crisis that sometimes we have limited limitation in dealing with. But we are doing whatever it takes as a government and if there is any additional intervention, it will be announced collectively as a government. It will not be a bad affair. It will be a collective government of Kenya approach.
Thank you.
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