The fuel subsidy implemented by the Government, as part of a series of measures aimed at counteracting the inflation generated by the Russian-Ukrainian war, has allowed citizens savings of RD$18,968 million so far in 2022.
This was announced by the Minister of Finance, Jochi Vicente, through his Twitter account, detailing that only in the last week Dominicans saved RD$90.83 for each gallon of regular gasoline they bought and RD$92.14 for each gallon of regular diesel, thanks to the subsidy.
The fuel subsidy began in early March, after the President of the Republic, Luis Abinader, announced a series of measures, which included not increasing the cost of hydrocarbons as long as the price of oil in Texas, from benchmark for the country, remained above US$85 a barrel and below US$115.
“Dominicans have saved 18.968 million pesos that have been absorbed by the State to protect them from the international inflation crisis and reduce the impact of transportation costs on food prices,” explained Vicente.
He stressed that the fiscal sacrifice made by the Government in favor of the population is such that, for the first time, in the Dominican Republic lower fuel prices are recorded than in many cities in the United States. He added that in the country a gallon of regular gasoline costs RD$274.50, cheaper than in California (RD$341.52) or in Washington (RD$290.33).
“Although the rise in prices has increased the collection of the ad valorem tax, we have allocated subsidies that have saved people much more than what was collected: for each peso that has been received from ad valorem, 1.4 pesos have been returned in subsidies,” the official specified.
