2024-02-11 09:30:18
Following the recent increase in the price of fuel at the pump, the Cameroonian government has started consultations with stakeholders in the transport sector, calling on them not to increase their prices immediately. Explanations.
A worrying fuel surge
The context is known: at the beginning of February 2024, fuel prices increased sharply at the pump in Cameroon, with a liter of diesel increasing, for example, from 720 to 828 FCFA. The liter of super is now sold at 840 FCFA instead of 730 FCFA previously.
A spectacular increase which risks causing an inflationary domino effect, by considerably increasing transport costs for players in the sector. Hence the government’s growing concern that this increase will be reflected in the prices paid by users.
A government call for restraint
To anticipate and contain this inflationary risk, the Cameroonian Ministry of Transport has just sent a letter to the heads of travel agencies and road transporters in the country. In this correspondence dated February 1, 2024, the government clearly calls on professionals in the sector to “practice the current price scale”.
Understand: there is no question for the moment of increasing prices for users, despite the rise in fuel prices. The executive intends to maintain the status quo while it conducts in-depth consultations with the social partners.
The threat of sanctions against recalcitrants
In its letter to transport stakeholders, the government even threatens administrative sanctions against offenders who defy its calls for restraint. Thus, any carrier who dares to illegally increase its prices risks having its authorization to operate suspended.
A sword of Damocles which reflects the desire of the Cameroonian State to avoid at all costs an uncontrollable waltz of labels, under the effect of the general surge in hydrocarbons. Even if it means going through administrative coercion.
Towards difficult government arbitration
Between transport companies legitimately worried about seeing their margins cut by the explosion in fuel prices, and users fearing galloping price inflation, the Cameroonian government is now playing the balancing act.
The executive will have to find a solution to cushion the oil shock, without strangling economic players or weighing on household budgets. Not sure, however, that such a miracle compromise exists… So to be continued.