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151461
Sun, 11/28/2010 - 13:37
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http://m.oananews.org//node/151461
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Ahmadinejad insists subsidy reform will improve living standards
TEHRAN, Nov. 28 (MNA)--President Mahmoud Ahmadinejad reassured people that they will be better-off with the implementation of the subsidy reform plan, emphasizing that the so-called overhaul of the economy will not have serious repercussions.
“The administration has planned in a way that the implementation of the law will improve the living standards of the low-income families and they will not face any (economic) pressure,” Ahmadinejad said on Saturday in a meeting with taxi and bus drivers working in the public transport sector.
Experts have expressed concern that the elimination of fuel subsidies may result in a sharp rise in bus, train, air and cab fares, which in turn can lead to a hike in the prices of various goods and services. But, government officials say the fares will be raised only by 10% after the beginning of the main stage of the plan.
The president said drivers are the real supporters of the administration in enforcing the subsidy reform plan.
“The administration is determined to give people their entitlements through implementation of the subsidy reform plan so that people themselves can decide how to spend (the subsidies)” Ahmadinejad said.
Elsewhere in his remarks, Ahmadinejad praised drivers for being hard-working and modest. “I prefer a strand of drivers’ hair to those people who think they are someone.”
The subsidy reform plan envisages a cutting of subsidies on fuel, electricity, and certain goods over the course of five years.
The administration has decided to pay cash subsidies for an undecided period of time to compensate low-income families for the inflationary repercussions of the plan. The initial stage of the plan started last month as the administration paid cash payments into the bank accounts of people. The government has announced the main stage of the plan will go into force during the Iranian calendar month of Azar which began on November 22.
“The administration has planned in a way that the implementation of the law will improve the living standards of the low-income families and they will not face any (economic) pressure,” Ahmadinejad said on Saturday in a meeting with taxi and bus drivers working in the public transport sector.
Experts have expressed concern that the elimination of fuel subsidies may result in a sharp rise in bus, train, air and cab fares, which in turn can lead to a hike in the prices of various goods and services. But, government officials say the fares will be raised only by 10% after the beginning of the main stage of the plan.
The president said drivers are the real supporters of the administration in enforcing the subsidy reform plan.
“The administration is determined to give people their entitlements through implementation of the subsidy reform plan so that people themselves can decide how to spend (the subsidies)” Ahmadinejad said.
Elsewhere in his remarks, Ahmadinejad praised drivers for being hard-working and modest. “I prefer a strand of drivers’ hair to those people who think they are someone.”
The subsidy reform plan envisages a cutting of subsidies on fuel, electricity, and certain goods over the course of five years.
The administration has decided to pay cash subsidies for an undecided period of time to compensate low-income families for the inflationary repercussions of the plan. The initial stage of the plan started last month as the administration paid cash payments into the bank accounts of people. The government has announced the main stage of the plan will go into force during the Iranian calendar month of Azar which began on November 22.
