Russia has responded to the Kenyan government over claims that it was behind the high cost of fuel that has gripped the entire world.
The Russian Embassy to Kenya responded to an article published by Citizen Digital where Government Spokesperson Col (Rtd) Cyrus Oguna said that the ongoing Russia’s invasion of Ukraine was behind the high cost of fuel.
According to Russia, the current high fuel prices globally are due to unilateral sanctions by the United States and European Union (EU).
“The root causes of all these problems are totally inept, unprofessional and irresponsible financial and economic policies of #US, #EU, and the like over a long period of time, as well as their illegal unilateral “#sanctions” that disrupt and distort global markets,” reads a Tweet by the embassy.
Hiked fuel prices have had a greater impact on all basic commodities globally.
Oguna said Kenya is doing what it can take to relieve Kenyans of the high fuel prices.
“It is true that the cost of living has gone high. But it is not the government’s wish. We have to understand there are external factors contributing to this. For instance, The war between Russia and Ukraine is affecting us in one way or the other. The price of fuel has gone high because where the fuel is coming from the prices have also gone high…;” said Oguna.
Russia says it can not take the blame for soaring global oil prices, and that it is “fundamentally erroneous” for any state to claim that Russia is the problem.
“The Western narrative that all the global, food, energy (fuel), and financial crises are because of the events in the #Ukraine is fundamentally erroneous.”
Despite public outcry over the high cost of living, Oguna said Kenya has the lowest fuel in the region thanks to the fuel subsidy.
Central Banks around the world have, however, resolved to raise benchmark lending rates in a bid to slam brakes on the soaring inflation.
The Central Bank of Kenya (CBK) raised the benchmark lending to 7.5 percent for the first time since July 2015.
The annual inflation rate in Kenya accelerated to a seven-month high of 6.47 percent in April from 5.56 percent in March, reflecting higher prices of basic food and fuels, but still within the bank’s 2.5 percent to 7.5 percent target band.
Financial market volatility has also increased significantly amid the recent adjustments in monetary policy in advanced economies.
The Bank of England (BoE), the central bank of the United Kingdom, raised its benchmark interest rate by 0.25 percentage points to 1.25 to curb surging inflation.
This is the fifth time the UK banking regulator has taken the move in succession to tackle inflation that has seen UK citizens struggle with high cost of living, the fastest rate for 40 years.
Reflecting fears about the rising cost of living as the Coronavirus pandemic and Russia’s war in Ukraine drive up global energy prices, U.K’s MPC said it was ready to launch a tougher response to inflation remaining above its target rate of 2 percent.
The United States Federal Reserve announced the most aggressive interest rate increase in nearly 30 years, raising the benchmark borrowing rate by 0.75 percentage points as it battles against surging inflation.