A Change of Guard

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Wednesday, 26 March 2008

Cambodian PM appeals for calm over inflation


As accelerating inflation puts more and more people at serious risk, Prime Minister Hun Sen (pictured) has appealed to Cambodians to be calm over increasing goods prices, especially that of rice, local media reported Wednesday. Soaring rice prices are due to dishonest merchants inflating their profits, Hun Sen was quoted by the Mekong Times newspaper assaying. Hun Sen ordered an investigation of rice merchants in Kandal, Kompong Thom and Kompong Cham provinces and asked authorities at all levels and rice stall owners to report any irregularities, the newspaper said. The premier rejected rumors of a black market for rice in Cambodia, claiming that inflation is due to rising oil prices. To help Cambodian rice reach local markets, Hun Sen ordered the Ministry of Commerce to put all rice mills across the country into operation. Meanwhile, Prom Tola, an independent economic advisor, said rising rice prices were partly due to over-exporting. In 2007, Cambodia produced 6.4 million tons of rice nationwide, a surplus of around two million tons, according to official statistics.


Source: Xinhua

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