By KALOBWE BWALYA
REMOVAL of fuel subsides will not only result in increased food prices, but also negatively affect poor households who are likely to endure more hardships, CARITAS executive director Eugene Kabika has said.
Mr Kabika explained in an interview that the removal of subsidies which only target consumption will lead to increase in prices of goods and services in the country. He said once the fuel subsidies are removed, the government will not only cripple citizens with poverty as food prices will become unbearable for the minority Zambians but also affect the economy negatively. Mr Kabika said the country will also see increase in prices of essential commodities such as mealie meal, meat, fish and cooking oil.
He said the country was still facing financial constraints and therefore effects of removing subsidies will worsen the price rise in every commodity. “Government has the right to use subsidies to help those that are ill[1]advantaged such as in a low-monetized economy ,” he said.
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