The new Senegalese government has introduced measures to lower the prices of rice, oil, bread, and other basic necessities to combat the rising cost of living amid high unemployment and inflation.
Budget Minister Cheikh Diba confirmed the initiative, noting that President Bassirou Diomaye Faye, who won the March election, had pledged during his campaign to tackle the high living costs in Senegal, a country heavily dependent on imports.
The new measures include a reduction of 40 CFA ($0.065, 0.061 euros) per kilogram of the most commonly consumed rice, and a 15 CFA (0.023 euros) reduction in the price of a baguette. These reductions, which also apply to cement and fertilizer, will take effect in the coming days, according to government Secretary General Ahmadou Al Aminou Lo.
Lo emphasized that food expenditures make up half of a typical Senegalese household’s budget and that the government will increase inspections to ensure compliance with the new prices. To subsidize these price cuts, Budget Minister Diba stated that the government would waive taxes and customs duties for importers, at a cost of 53.3 billion CFA (more than 81 million euros, $87 million).
This announcement follows Senegal’s recent entry into the group of oil-producing countries, as Australian company Woodside Energy began production in the nation’s first offshore project. President Faye has promised that the revenues from Senegal’s gas and oil resources will be “well managed.”
