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Last Updated: Wednesday, 13 February 2008, 09:34 GMT
Mozambique riots push fuel down
A policeman on a street of Mozambique's capital, Maputo, on the day of protests over bus fares
Police were accused of opening fire on protesters
Mozambique has revoked a recent increase in the price of diesel fuel for private minibus taxis.

The move follows a week of clashes between police and rioters that killed at least four people and seriously injured more than 100.

Transport Minister Antonio Mungwambe said the price of diesel would drop by 14% for minibus owners.

In the immediate aftermath of the riots, the government cancelled plans to raise transport fares by up to 50%.

Temporary measure

During the demonstrations, crowds looted shops, destroyed vehicles and burned tyres and electricity poles.

The key problem is people's low salary
Agostinho Matsinhe
Transport operator

The price of fuel was increased by 14% last month in response to rising prices on the world market.

Food prices have also increased as a result.

Analysts view the government move as a temporary measure while it works out a durable solution to the crisis.

"The key problem is people's low salary," transport operator Agostinho Matsinhe told the BBC at one of the terminals in the outskirts of Maputo.

"So, passengers are right when they complain and so are the transporters.

"Practically, the reduction in the price of fuel does not help much for both of us."

SEE ALSO
Country profile: Mozambique
15 Jan 08 |  Country profiles
Mozambique ex-leader wins prize
22 Oct 07 |  Africa
In pictures: Life in Mozambique
01 Nov 07 |  In Pictures

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