Ryan Pinder on inflation
MP for Elizabeth Ryan Pinder is chiming in on rising inflation in the country and its effect on the cost of living and doing business in The Bahamas.
“Inflation is generally the overall increase of the price for goods and services in an economy. Even if there is growth in the economy, the problem of the cost of items rising at an increased rate could cause more and significant challenges to Bahamians,”he said yesterday during his mid-year budget presentation in the House of Assembly.”It seems that there are misleading communications in The Bahamas on inflation. In one breath the prime minister states that inflation is forecasted to remain subdued, yet in the next breath the prime minster states that the price for gas and diesel has increased exponentially over the course of the last year, and especially as compared to the prices this time last year. We are witnessing fuel prices increase at the most alarming rate in decades right now, which has a direct affect on the cost of goods, gasoline, travel, almost everything. This inflationary pressure will have an adverse effect on the economic recovery of The Bahamas.
“These inflationary pressures are not only because of fuel costs. For example, in the United States almost every measurable commodity is up dramatically over the course of the last two years. Given our close ties with the United States, our pegged currency to the U.S. dollar, we should expect and forecast measurable inflationary pressures. What does this mean to Bahamians, in times where income is not rising, jobs are scarce, many are unemployed, the cost of every day items could be on the rise?It is the responsibility of the government to anticipate this and put in policies to lessen the adverse effect of anticipated rising prices. Bahamians today cannot afford increasing prices on decreasing salaries. Many struggle to put food on the table now, to keep their electricity on, to provide for their families, it will(be)catastrophic to their livelihood and quality of life for these basic breadbasket items to increase in cost.”