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Gov’t will not raise bread prices — spokesperson

By JT - May 17,2015 - Last updated at May 17,2015

AMMAN — The government will not raise the prices of bread, Government Spokesperson Mohammad Momani said Sunday, noting that Prime Minister Abdullah Ensour was clear in his remarks in this regard. 

The premier highlighted the currently adopted mechanism to subsidise bread and the issue of wasted funds, but he confirmed that the government was not going to increase the price of bread, Momani, who is also minister of state for media affairs and communications, said.

The government stands firm by its position, Momani said in a statement carried by the Jordan News Agency, Petra.

The government, he added, is also looking for other creative and more effective mechanisms to ensure that subsidies go to Jordanians and funds are not wasted.

At a press conference last week, the premier said the government imports one tonne of flour at a cost of JD350 and sells it to bakeries at JD50, adding that the estimated cost of subsidising flour on the Treasury is around JD180 million this year. The Treasury is now extending the flour subsidy to millions of non-Jordanians and bread is being used to feed cattle, while flour is also smuggled abroad, Momani pointed out. 

At present, the government is acquainting the public with the realities, regarding wasted funds as a result of the current subsidy system, and also looking for creative solutions to maintain subsidies and stop wasting funds, the spokesperson said, stressing that no final decisions have been discussed so far, Petra reported.    

Bread is a basic commodity in Jordan, with one kilo currently sold at around JD0.18. 

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