Ivory Coast gas-price cut could be double whammy

Posted By Patrick Fitzgerald Monday, July 21, 2008 - 11:27 AM Share

ISSOUF SANOGO/AFP/Getty Images

As dreams of a gas-tax holiday died in Congress amid concerns of lost jobs for transport and construction, lawmakers in the Ivory Coast are paying for a reduction in fuel costs out of their own pockets. Both government ministers and managers of state-owned companies will see their paychecks halved to pay for a 10-percent cut in fuel prices, Prime Minister Guillaume Soro says:

Having heard the people's cry from the heart, the government has decided to cut the price of fuel," Mr Soro said.

A noble effort on its face, yes, this political stunt could actually be double trouble for the people of Ivory Coast. We've expressed our skepticism toward "gas-tax holidays" before, but lowering government officials' pay can also prove problematic, making ministers more susceptible to the ubiquitous temptation of corruption.

EXPLORE:AFRICA, CORRUPTION, ECONOMICS, OIL

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