Mexico keeps gas prices unchanged after riots across country

Riot police in Mexico City took cover behind their shields during a clash with farm workers, who have denounced a gasoline price increase that raised the price of tractor fuel. (Eduardo Verdugo/AP)
Riot police in Mexico City took cover behind their shields during a clash with farm workers, who have denounced a gasoline price increase that raised the price of tractor fuel. (Eduardo Verdugo/AP)

By Juan Montes / Wall Street Journal

Mexico’s government kept gasoline prices unchanged Friday after a big jump in prices in early January prompted protests, riots and looting across the country.

The decision to leave prices unchanged in the first weeks of February followed a slight decline in international oil prices and an appreciation of the peso in recent weeks. A senior official at the Finance Ministry said no subsidies or tax breaks will be needed to keep prices unchanged.

But the move also had political implications, analysts said. A second jump in gasoline prices could have reignited protests at a moment when President Enrique Peña Nieto is enjoying broad support after canceling last week his planned visit to the U.S. to meet President Donald Trump, who is widely unpopular in Mexico.

https://www.wsj.com/articles/mexico-keeps-gasoline-prices-unchanged-after-riots-1486136098

Leave a Reply

Your email address will not be published. Required fields are marked *