Tuesday, June 18, 2013

Most hotel rates in Bali be adjusted accordingly.due to the fuel price hike

Bali Promotion Center: comparison of fuel prices worldwide June 2013: Comparison of fuel prices worldwide June 2013  Fuel prices around the world, June 2013 Here you can find information about fuel prices around the world.

FYI as the result of fuel price hike in Indonesia by the end of June 2013 , most hotel rates, in Bali in particular and Indonesia in general ,will be adjusted accordingly.

The government of President Susilo Bambang Yudhoyono was mulling over raising gasoline prices 44 percent, from 4,500 rupiah, or 45 cents, a liter, or 0.26 gallon, to 6,500 rupiah to help close a widening budget deficit. The country’s Finance Ministry has said spending on fuel subsidies could reach $23 billion in 2013, compared with about $20 billion last year, if urgent action is not taken. 
The House of Representatives just approved the government's proposed fuel-price hike as it endorsed the draft bill of the 2013 revised state budget in a plenary session in Jakarta on Monday. June 17th. 2013.that would  pave the way for the government to announce the first price hike since 2008.
Under the revised state budget, the price of fuel will increase by 44 percent to Rp 6,500 (66 US cents) per liter.

In the meantime the Vice President Boediono said he was sure that the temporary direct cash assistance or locally called BLSM would not be able to influence the political choices of people who benefited from the assistance.
“So, for those who still worry about the assistance, they may need to think again about that Rp 150,000 (US$15.2) monthly cash aid for four months; it actually means nothing for our constituents,” 
 He further said the government would make sure that the social protection policy will run well and go to only the targeted beneficiaries. Another source from the finance ministry  said it might be conducted  by the end of this month.
Boediono said the BLSM policy was necessary because the government would increase the subsidized fuel price. Such an increase might lead to a rise in the price of basic commodities that would further lead to economic hardship among the poor .
During the session, 338 legislators voted in favor of the bill, while 181 lawmakers rejected it.
Fuel prices have long been a flashpoint issue in Indonesia, with economists arguing that huge government subsidies are damaging Southeast Asia's top economy. 

International lenders like the World Bank have urged the Indonesian government to eliminate subsidies altogether, as savings could go to crucial social programs, including health care, as well as much-needed infrastructure investment.  

Although Indonesia has plenty of oil production fields and is among the top 25 oil-producing nations in the world, it is a net importer of petroleum. Gasoline is so heavily subsidized that at the end of 2012, the country had the lowest fuel prices of any net oil-consuming nation in the world, according to the World Bank. The second-lowest was the United States, where a gallon sold for $3.29 on Dec. 31 — nearly twice as much as in Indonesia.
Comparison of Fuel Prices worldwide

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