Pressure is intensifying on the government’s fuel price cap policy as rising global oil prices test its sustainability, even as authorities move to extend the measure to curb inflation.
The fuel price cap system helped consumer prices drop by up to 0.8 percentage points in March, a state-run economic think tank said in a report Wednesday, noting the effects of fuel tax cuts will also begin to appear this month.
Korea has opted to freeze its third-round fuel price caps, citing volatility stemming from the cease-fire, as domestic prices for petroleum products, including diesel, continue their uphill march.
Korea JoongAng Daily Sitemap
