Most Read

Oil prices

11 September 2005, 18:00 PM
LETTERS TO THE EDITOR
By Suman Dhaka University
11 September 2005, 18:00 PM
. PHOTO: AFP
Presently, we are observing that fuel prices are rising in the global market. As the government buys fuel from world market at international rate, now it has to spend an additional amount for buying oil. But the government gives subsidy on oil price and sells it in the domestic market at a lower price, which is the lowest in South Asia.

Now the government has to spend $ 2 billion for buying oil. This is creating pressure on foreign currency reserve. On the other hand, as oil price in neighbouring India is almost double, hundreds of tons of fuel is smuggled out to that country. In Myanmar, per litre petrol price is one dollar.

So it was the right time to take the unpopular decision of increasing oil prices.

Google News LinkFor all latest news, follow The Daily Star's Google News channel.