I went to a side market to purchase a K3.00 phone credit and I had to pay K4.00.
The one kina difference is the market profit for the reseller.
That is profit cost for walking or taxing to a wholesaler to buy minimum quantity for sale, labour cost for selling, earning to put food on table and pay utility bills.
Damn you see its utterly expensive.
Have a look through your shopping receipt if you shop at pose supermarkets in Port Moresby, you don't get much with a K100.00.
This is real.
A packet of chicken costs around K17 and a loaf of bread costs more than K5.
Can drinks are K3.00 or just over and fruits like apples would cost around K14.00 for six.
When you start shopping you feel the brunt of this inflation.
Government intervention of tax reliefs are not even helping citizens in the formal and informal sector.
In fact the most affected are ones in the formal sector who pay regular personal income tax and other taxes like 10 % GST ( goods and services tax)
These employees do not control how they have to be taxed or when their earnings have to be raised to meet the inflation so that they have extra in their pockets.
For the informal sector sellers, they have one hundred percent control over their product and can increase or decrease their costs when ever they feel like and mostly influenced by a situation the locality is confronted with.
For example fuel shortage. Betel nut crisis, locked down on beer sales.
Triggered by more demand and less supply they increase their costs to make quick big money.
Increase in crime as a result of inflation has been evident but the justice system is very weak to arrest to ongoing issue.
I had a call from our family taxi friend who is from Mt Hagen and lives at 9 Mile Bus Wara on the outskirts of Port Moresby.
Well he said he got a SIM replacement because someone just came to him and grabbed his android phone and dashed off when he was texting at 9 Mile.
It was a beautiful phone gifted to him by his client.
Life seems to be getting very challenging for citizens because inflation is high.
This criminal is finding it so difficult to earn something save and buy a new phone.
And, he doesn't mind committing the crime because the criminal justice system will not get him.
The government needs to assist the citizens live through this tough high inflation period by lowering taxes on citizens so they have a higher take home pay.
Improve and be active on sourcing revenue (fines) through crimes like stealing, traffic offences, littering etc...
This revenue will cover loss for reduced income tax.
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