S.Korea mulls expanding fuel tax cuts amid surging prices

by IANS |

Seoul, June 18 (IANS) The South Korean government has been considering expanding fuel tax cuts, as part of efforts to ease inflation pressure that has been building up amid surging energy prices, Finance Ministry officials said on Saturday.

The government has been mulling expanding fuel tax cuts from the current 30 per cent to a legal cap of 37 per cent, Yonhap News Agency quoted the officials as saying.

Finance Minister Choo Kyung-ho plans to preside over an emergency meeting with economy-related ministers on Sunday, when the expansion of fuel tax cuts is likely to be confirmed, they said.

Inflationary pressure has rapidly built up amid soaring oil and commodity prices, caused by Russia's invasion of Ukraine and the recovery in demand.

South Korea's consumer prices jumped 5.4 per cent on-year in May, the fastest rise in almost 14 years and a pickup from a 4.8 per cent spike in April.

The average retail price of diesel surpassed 2,100 won ($1.62) on Friday, while that of gasoline stood at 2,098.45 won.

The price of gasoline breached the 2,000 won mark on March 15, the first time in more than nine years.

The continued uptrend in fuel prices is attributable to the supply shortage of petroleum products triggered by Russia's invasion of Ukraine and subsequent international sanctions on Moscow, a major energy exporter in the world.

Latest News
BJP in direct contact with 20 cr household to expand its mass base Sun, Aug 14, 2022, 04:34 PM
Perfect 12 from Indian wrestlers at CWG 2022, but tougher tests await them Sun, Aug 14, 2022, 04:04 PM
I-Day: Delhi under heavy security cover Sun, Aug 14, 2022, 03:52 PM
Meta partners with DoorDash to deliver Marketplace items in US Sun, Aug 14, 2022, 03:14 PM
Akasa Air founder, top broker Rakesh Jhunjhunwala passes away Sun, Aug 14, 2022, 03:03 PM
Investing community mourns death of Rakesh Jhunjhunwala Sun, Aug 14, 2022, 02:59 PM
UP ATS arrests one more Jaish terrorist Sun, Aug 14, 2022, 02:57 PM
After airspace closure, 10 Russian planes remain in Germany Sun, Aug 14, 2022, 02:43 PM
Three of a family killed in Gujarat road mishap Sun, Aug 14, 2022, 01:58 PM
One thing that stands out is how Rohit Sharma backs players who aren't performing: Parthiv Patel Sun, Aug 14, 2022, 01:45 PM
Pakistan records 581 new Covid cases, 4 deaths Sun, Aug 14, 2022, 01:24 PM
PM pays homage to all those who lost their lives during Partition Sun, Aug 14, 2022, 12:52 PM
MS Dhoni changes his Instagram DP to Indian tricolour to mark 75 years of independence Sun, Aug 14, 2022, 12:43 PM
Elon Musk hopes for a self-sustaining city on Mars in 20 years Sun, Aug 14, 2022, 12:39 PM
CCI approves merger of HDFC Bank, HDFC Ltd Sun, Aug 14, 2022, 12:37 PM