Week 577

Monday, 8.9.2008: Inflation Affects the Livelihood of the Poor

The Mirror, Vol. 12, No. 577

“Phnom Penh: While the price of fuel increases, everything increases also, but when thr price of fuel in the world declines much, the prices of goods in Cambodia do not seem to go down, affecting the livelihood of the citizens, especially of the poor. High ranking officials of the National Bank of Cambodia have recognized signs of inflation in Cambodia.

“According to a report of the first six months of 2008, issued by the National Bank of Cambodia, inflation in Cambodia increased to 37.2%, which seriously affects the everyday life of the citizens.

“Mr. Chea Chanto, the governor of the National Bank of Cambodia, said that the major issue is the remarkably rising inflation during the early part of 2008. There was increasing inflation, because Cambodia faced the world economic situation which was bleak, and this resulted from a combinatiion of factors, such as the turmoil in the financial and credit markets of industrialized countries, as well as the rising prices of fuel and of food worldwide, particularly the increase of the price of rice.

“It is not known whether what is mentioned here is appropriate or not, but according to observations at the markets in Cambodia, it seems to be almost a habit that when prices of all types of goods increase, they later hardly decline, and if there is a decline, it is small.

“The price of fuel rose dramatically in the world from US$100 to US$147 per barrel in July 2008, and in August, the price of fuel in Cambodia increased also considerably to Riel 5,650 [approx. US$1.40] per liter. However, when prices of fuel in the world declined to US$112 (a US$35 drop), fuel prices in Cambodia declined to Riel 5,400 [approx. US$1.33] only, which seems not to be equivalent to the world influence.

“As for the prices of goods at the markets in Cambodia, they do not decline much, making people to say that when prices rise, they later hardly decline. Prices of goods seem to remain stable – Somaly rice costs Riel 4,000 [approx. US$0.99]/kg, Phka Malis rice Riel 3,100 [approx. US$0.77]/kg, Neang Menh Riel 2,500 [approx. US$0.62]/kg, pork Riel 20,000 [approx. US$4.95]/kg, beef Riel 23,000 [approx. US$5.68]/kg, chicken Riel 18,000 [approx. US$4.45], fresh pike fish Riel 15,000 [approx. US$3.70]/kg, dry salty pile fish Riel 32,000 [approx. US$7.90]/kg, and sugar Riel 2,200 [approx. US$0.54]/kg.

“Now, not only the prices of goods of daily consumption increase, but also the prices for bicycle and motorbike parking at different markets increased also.

“Ms. Srey Sitha, 49, whose husband is a civil servant with a salary of Riel 200,000 [approx. US$49.43], has four children. She was carrying a basket and went with not much hope to do the shopping. She said that she lives in Boeng Salang and was heading to the Phsar Deumkor Market to do the shopping. Before, she spent only Riel 5,000 [approx. US$1.24] when she did the shopping, but now, although having Riel 20,000 to Riel 30,000 [approx. US$7.41], she could not manage to buy delicious food.

“She added that according to her husband’s salary, more than Riel 6,000 [approx. US$1.48] can be spent per day, and as for her, the state offers her [a dependent’s allowance of] Riel 6,000 per month (before it had been Riel 3,000); how can the money be managed? At least Riel 40,000 [approx. US$9.89] to Riel 50,000 [approx. US$12.36] is needed to be spent per day (Riel 20,000 for food, Riel 10,000 [approx. US$2.47] for fuel for her children’s and her husband’s motorbikes, and Riel 10,000 for her children for additional tutoring classes) – and this does not yet include rice for breakfast.

“A teacher of a high school in Phnom Penh, who uses his free time to work as a moto taxi driver, said that his salary is Riel 300,000 [approx. US$74,15], but it is not enough for his family, because even calculating the amount of fuel and of rice for breakfast, already Riel 10,000 is gone. If he would not drive a moto taxi to earn more money, how could the life of the family be supported? He added a Khmer saying, ‘The teacher has a good wife, but when he is poor, she complains’ [mocking the teaching profession, known to receive low salaries]. ‘I don’t know whether my students want to follow me to become a teacher who is poor like this.’

“As for workers, they complain similarly. Srey Oun, 29, from Kompong Thom, works in a factory in Tuek Thla, Russey Keo, Phnom Penh. She earns between US$60 and US$70 per month, and she complained that everyday, she works like a slave of the Chinese owner, and she does not know clearly whom her work feeds more [her or her boss]. She earns US$60, out of which US$10 is paid for the rent where she stays, US$5 for utilities, US$20 per month for her meals, US$1 for rice as breakfast – corresponding to US$30 per month – and US$10 for traveling to visit her hometown every month. So there is no money left to feed herself and her parents. She said, ‘I do not want to work in the factory very much, but if I stay at home, there is nothing to do, so I just bear it until I die.’

“A retired civil servant said that if one considers the prices of goods at the current markets, there is only suffering; for him, like for other civil servants, if he would not work hard to find part-time jobs, he could not expect to survive; his stomach will shrink and the whole family will die. At present, approximately 34% of the citizens earn less than US$1 per day. However, the number of officials of the government increases, and they are wasting the state’s resoources, because too many positions and roles have been created.

“Mr. Kouy Sarun showed the gap between the rich and the poor through a poem, ‘The rich is rich with much wealth, while the poor lacks everything forever; the rich buy beef for their dogs, while the farmers who feed the cows eat Prahok.’ [preserved fish]” Amnach Reas, Vol.1, #21, 8-14.9.2008

Newspapers Appearing on the Newsstand:
Monday, 8 September 2008


Amnach Reas [the title is written in Khmer, then in Roman letters trascribed, and then in English translation: The

    People’s Power], Vol.1, #21, 8-14.9.2008
    Inflation Affects the Livelihood of the Poor


Kampuchea Thmey, Vol.7, #1740, 7-8.9.2008

  • [Cambodian National Research Organization director] Dr. Heang Rithy: If Sam Rainsy Wants to Protest [against election results], He Should Not Be Stupid Like This [but he has to create a clear policy plan for the elections]
  • Man, Who Loses Court Case [over land issue], Is Ordered by Court to Unearth His Wife’s Body from the Tomb [located on the contestedland – Baribour, Kampong Chhnang]
  • Makeshift Truck Sets Off Anti-Tank Mine, Killing Five People in Koun Kriel Commune [Samraong, Oddar Meanchey on 5 September 2008]


Khmer Machas Srok, Vol.2, #239, 7-9.9.2008

  • [Sam Rainsy Party parliamentarian from Phnom Penh] Son Chhay: Cambodia Might Have a New Revolution if the Cambodian People’s Party Does Not Reform the Leadership System Following Democratic Principles
  • Illegal Logging Continues Seriously in Ratanakiri


Khmer Sthapana, Vol.1, #93, 7-8.9.2008

  • Trees in Oral Mountain Are Illegally Cut in Great Numbers [Kompong Speu]


Koh Santepheap, Vol.41, #64, .9.2008

  • Are Neighbor’s Acts Good or Bad? At the Cham Yeam Border Crossing [in Koh Kong], Siamese [Thai border protection officials] Have Dogs Sniff Khmers from Head to Foot [checking for drugs]; at the Choam Border Crossing [in Oddar Meanchey], the Palms of Their Hands and All Ten Fingers Have to Be Fingerprinted [by the Thai immigration police] before they allowed Cambodians to enter Thailand]
  • Oral District Military Police Burned [illegal] Sawmill in the Jungle [5 September 2008 – Kompong Speu]


Rasmei Kampuchea, Vol.16, #4688, 7-8.9.2008

  • A Bodyguard’s Gun Went Off by Itself, Killing a [27-year-old] Woman; He Was Released by the Police, but Not Sent to Court [Kien Svay, Kandal]
  • Approximately 450 to 500 Dogs Are Needed for Dog Meat Restaurants saain Phnom Penh per Day [according to a Municipal veterinary]

Click here to have a look at the last editorial – how to evaluate them: which realities do they really represent?

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