webmaster
© Copyright DEHAI-Eritrea OnLine, 1993-2011
All rights reserved
From: Berhane Habtemariam (Berhane.Habtemariam@gmx.de)
Date: Mon Jan 24 2011 - 09:50:09 EST
<http://www.opride.com/oromsis/ethiopia/847-ethiopia-inflation.html>
Ethiopia: Tremors of Inflation Reaches the Army
24/01/2011
According to reliable internal sources, rising worries about inflation in
Ethiopia are sending shivers through many sectors of the society, including
the very pillar the ruling party relies upon to cling to power. The latest
to feel the pinch and cry foul is the military. The source indicated that
the army has lodged a request for a cost of living adjustment to stay
afloat.
The price of basic necessities such as flour, onion, coffee, and sugar has
skyrocketed. The government blamed the hike in prices on hoarding by greedy
merchants. Following tough words by the Prime Minister, the business
community in the capital is feeling under siege.
Within the last week alone, over 100 shops have been confiscated. To prevent
the dire situation from snow balling into a political crisis pensioners are
given 84 percent raise. There is also report of a 300 percent salary
increase for civil servants. Economists warn that this may fuel the already
combustible situation rather than abate it. There is rumor about further
devaluation of the birr.
To make matters worse, deepening political grievances compounded by
increasing anxiety about a possible economic meltdown has prompted talk of a
Tunisia style jasmine revolution in the capital, despite the total news
blackout by the state-owned media.
----[This List to be used for Eritrea Related News Only]----