Inflation is a concern for us, as is it for a large majority of people living here. Wage increases are not keeping up with price increases, utility increases, services increases.
Just this evening, what was a 1.25 taxi ride ran us 2.00 because of the new tarriffs that have gone into effect. As mentioned previously, we’ve seen banana prices jump from .15 to .30 a lb.
When one gets used to living by nickels and dimes and making every penny count, such increases are astronomical. It is an issue in the mind of many here, even as there is a growing middle class.
The economy is growing strong at something like 9% year, but for the those living at the low end of the wage scale, price increases are a big deal.
From Prensa Latina. (Source)
Panama Food Costs Continue to Rise
Panama, Apr 29 (Prensa Latina) Panama’s basic foods increased 1.2 percent between February and March and 20.9 percent compared to the same month of 2007, the Ministry of Economy and Finance published on Tuesday.
According to the report, the average price of 50 basic food products calculated for an average diet per person daily of 2,305 calories – reached 246.79 dollars per month. This is the third rise in food prices reported this year.
All groups of food products registered an increase in prices this year, and the highest were fats, including vegetable oil and margarine for 46.9 percent, followed by dairy products (cheese and powered milk) up 38.7 percent.
Other products with significant increase in prices are potatoes, 21.6 percent and bread, with 19 percent
Electricity Prices (Source)
From LA Presna Latina
The country’s three electricity providers have announced that they will be increasing rates again this year.
Elektra Noreste, Edemet and Edechi yesterday published proposed adjustments to rates that will go into effect July 1. Those rates have a 2 cent per kilowatt hour increase. Industry officials said the increase is necessary because of rising fuel costs.
The latest increase comes on top of a 4 cent per kilowatt hour increase that Elektra Noreste and Edemet enacted on January 1.
The government is expected to absorb most of the price increase. In January, it decided to subsidize the increase for 90 percent of the affected customers.
The customers bearing the brunt of the price hike will be those consuming more than 500 kilowatt hours per month. These customers do not receive subsidies from the government.