(Ecofin Agency) - Faced with the growing price hike on its territory, the Ivorian government announced new measures to keep inflation under control. The state reported the new policies in an official statement issued last March 5.

These include a $55 million price subsidy for petroleum products such as diesel; a price cap on refined palm oil, sugar, milk, rice, concentrated tomato, beef, and pasta for the period January to March; an expansion of the list of consumer products and services with price regulation; the introduction of the principle of prior information and consultation before any increase in the prices of consumer goods for six months; and the submission of exports of consumer food products for authorization, in particular plantain, cassava and byproducts (attiéké, placali), yams, and local rice.

The government will also provide financial support to food producers, dismantle illegal roadblocks and inform economic actors and the population about regular roadblocks, and set up an information campaign for consumers on prices, the availability of consumer products, and changes in the price of products and inputs on the international market. It will also strengthen monitoring so that the new policies are respected.

Authorities said the inflation is due to several factors such as higher shipping costs, higher oil prices on the global market, and the security situation in the Sahel.  At the local level, factors include low rainfall and the delay in rains.

Through the implementation of these reforms, the government intends to "preserve the purchasing power of the population. In mid-2021, Abidjan was ranked by Mercer, in its annual report on the cost of living in the world, as the fourth most expensive city in Africa. The study covered housing, food, entertainment, transportation, health care, and nearly 200 other products and services.

That same year, in July, Prime Minister Patrick Achi announced "the reactivation and strengthening of the National Council for the Fight against the High Cost of Living (CNLVC)” in the post-pandemic period. CNLVC is the instrument set up by the Ivorian government to keep an eye on price trends. It is a permanent framework for exchanges between the various players in the sector.

Jean-Marc Gogbeu, intern