Hike in oil prices twice a manifestation of the government's bankruptcy
Photo: Agamir Somoy
The AB Party (Amar Bangladesh Party) has termed the decision to hike fuel prices twice within seven months a reflection of the government's bankruptcy.
Speaking at a press conference titled "Abnormal Fuel Price Hike: Impact on Public Interest and the Economy" at the party's central office in Vijayanagar, Dhaka, AB Party Chairman Mojibur Rahman Monju said that while international market conditions, Middle Eastern conflicts, and rising transportation and import costs are real, placing the entire burden on the public all at once is unjustifiable. He emphasized that price adjustments could have been implemented gradually and in a balanced manner.
Recently, prices for diesel, kerosene, petrol, and octane were increased by 20 Tk per liter, raising the price of diesel from 115 Tk to 135 Tk per liter.
Mojibur Rahman Monju highlighted that diesel is widely used in agriculture, irrigation, public transport, and freight movement. Consequently, a price hike directly affects farmers, workers, the transport sector, and general consumers.
He stated that while the government must navigate international market realities, there is no need to offload the entire pressure onto citizens at once. People need a measured price adjustment rather than a price shock.
The AB Party Chairman added that higher diesel prices will escalate the operational costs of agricultural equipment such as irrigation pumps, power tillers, and harvesters. This risks driving up both production and transport costs for agricultural produce—a particularly crucial concern ahead of the upcoming Boro season.
He further added that the fuel price hike could intensify inflationary pressures. In August, overall national inflation stood at 8.26 percent, while the national wage growth rate was 8.5 percent. Under these conditions, increasing fuel prices will severely erode people's real purchasing power.
According to Monju, a rise in fuel prices directly inflates the operating costs of buses and freight vehicles, which subsequently pushes up overall transportation expenses. This creates a ripple effect, driving up prices in both wholesale and retail markets. Therefore, assessing the impact solely on a 20 Tk per liter increase fails to capture its broader economic consequences.
During the press conference, Barrister Abbas Islam Khan Noman, Secretary for Shadow Cabinet Affairs of the AB Party, outlined the broader economic implications of the fuel price hike.
The event was attended by AB Party Joint Secretaries-General Barrister Zubair Ahmed Bhuiyan, Advocate Abdullah Al Mamun Rana, Md. Altaf Hossain, and Shahadatullah Tutul; Convener of Dhaka City South Abdul Halim Khokon; Convener of Dhaka City North Selim Khan; along with other central and city-level leaders.
