Report: End to Subsidies Leads to 5x Increase in Iraq Gas Prices
In other news from Iraq, the Los Angeles Times is reporting gas prices in the country have increased fivefold since national elections two weeks ago. The increase is attributed to a debt-forgiveness deal signed with the International Monetary Fund that requires the interim Iraqi government to cut fuel subsidies. Gas is selling for a reported 65 cents a gallon, up from 5 cents over the summer. Robert Mabro, former chairman of the Oxford Institute of Energy Studies, said: “The subsidies may be big, but the situation in Iraq is such a mess. If there is a price increase, if they remove some of the subsidies, it will cause a lot of hardship.” (From Democracy Now!‘s headline stories for Dec. 28)
LAT: “Iraqis Pummeled at the Pumps.” OPEN THREAD!
