‘Sh100billion fuel subsidy to continue,’ says President Samia

Dar es Salaam.   President Samia Suluhu Hassan has said that the Sh100 billion monthly fuel subsidy is set to continue with the intent of lowering the rising global oil prices.

Addressing the public during her tour of Kagera Region, President Samia said that the government will be providing the subsidy until when the state of fuel prices across the world goes back to normal.

“These subsides are taken from the government’s expenditure and they are set to assist in reducing the acuteness in the oil prices in the country. The fuel prices have already started lowering in this month,” she said.

The Minister of Energy, January Makamba on May 10, made the announcement of Government subsidy of Sh100 billion to reduce fuel prices in the country.

Speaking in Parliament Mr Makamba said the subsidy was to reduce government spending for the remainder of 2021/22 fiscal year.

"The Sh100 billion subsidy will take effect from June 1, 2022. This is due to the fact that wholesalers have already paid for the fuel costs included in the May 2022 prices and petrol stations have already purchased fuel at the current price,” Makamba said then