Yesterday, out of the blue, the President and his people said they would hold a Press Conference. This happen as President Emmerson Mnangagwa announced the spiking or doubling of fuel prices, as the state is struggling with the dollar shortage. This is happening as the effects of RTGS Taxes and the hurting economy in general. As the black-market bond-notes exchange rates and lack of currency in general. This is all making the financial market worse.
So, of today, there are long lines of cars going to petrol stations trying to get fuel. The videos of it is online and shown to the world. Mnangagwa statement came late at night on a Saturday and on Sunday, the results of this has occurred. As businesses are challenged, the Unions are reacting and the public are bitten by it too. This is hurting all, everything will become more expensive and the lie of 1:1 exchange between the Zimbabwe Bond-Notes and United States Dollars (USD). Therefore, the statement yesterday proves the added expenses on ordinary lives.
“After wide consultations, the ZCTU General Council resolved to call for a nation wide STAY AWAY with effect from midnight today following the insensitive and provocative increase of fuel price by the President of Zimbabwe. 2) Workers have been facing serious hardships as a result of the general astronomical price increases since last year against stagnant salaries. The fuel increase added more misery to the suffering working class of Zimbabwe both in formal and informal sectors. The action will be embarked on an incremental basis & include other forms of actions that will be advised in due. There is nothing else pushing the workers besides the starvation & hardships afflicting every working class household. Think about your family & do the right thing” (Zimbabwe Congress of Trade Unions, 13.01.2019).
Some people are blaming the sanctions, other like me is also looking into the added taxes done by this administration late last year. As the costs of currency has gone up, as the RTGS and the transactions are added expenses. Also, the reality of lack of currency itself, as the foreign exchange has hit the workforce of the state. There been numerous strikes, there been plenty of businesses closing and also empty shelves. Therefore, the stagnation and slow destruction of the economy without a currency. Is really hitting the common folk. Who knows what rate the inflation is at, but it must be hitting hard.
Because we know the hardships hits the citizens, not only the prices of fuel is doubled over night, but the amount of fuel you can buy has been cut in half or even less. That has even been stated by companies like Redan Coupon (Pvt.) Limited, who came out with a public statement. Showing the effects on all of them customers.
We know this is fixed prices from the government, as the President did on Live Press Conference, telling the public about the prices yesterday. The Herald wrote this about it yesterday: “Zera said the prices which were implemented recently were in line with Statutory Instruments 20 and 100 enacted in 2015. Zera notified members of the public that uel stations were at liberty to sell the commodity at lower prices “depending on their trading advantages.”” (Farirai Machivenyika – ‘Govt clears air on fuel prices’ 12.01.2019).
We are seeing clearly, that the authorities had worked together before the doubling of fuel prices happen. As the President stated. They know it will affect all parts of life, make everything more expensive. Everything in the Republic will be touched and the costs of life, will sky-rocket naturally. Not looking forward to see the inflation numbers and how it affects the prices on food and basics in general.
Also, expect more strikes and demonstrations, as the costs of living is hitting all parts of life. Peace.