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INDONESIAN GOVERNMENT RAISES FUEL PRICES

INDONESIAN GOVERNMENT RAISES FUEL PRICES

JAKARTA, Indonesia (AP) — Indonesia’s president has announced a sharp increase in fuel prices, saying costly government subsidies would be better spent on infrastructure and development.

President Joko “Jokowi” Widodo announced the price hikes at the state palace on Monday, flanked by economic and social affairs ministers.

The price of gasoline will be raised from about 53 cents to 70 cents per liter, and diesel fuel from 45 cents to 61 cents.

Jokowi said it was a difficult choice, but that the government finally decided after a series of discussions to switch the subsidies to productive investment.

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