HANOI, 23 March (Reuters) – The plan to reduce the environment tax on fuel by half was approved Wednesday by Vietnam’s National Assembly, according to state media. This comes amid rising prices and a shortage of fuel, state media reported.
National radio Voice of Vietnam reported that the environment tax on gasoline and diesel fuel and lubricants would be reduced by half to 2,000 dong ($0.09) per gallon and 1,000 dong respectively.
From the current 1,000 dong, the tax on kerosene will be reduced to 300 dong per Liter.
The finance ministry previously predicted that tax collection would fall by 29 trillion wong ($1.27 billion) with the new rates.
Vietnam wants to keep inflation under 4% by 2022. It lowered its RON92 gasoline prices by 2.2% to 28,330 wong ($1.24) per litre Monday.
($1 = 22,869.0000 dong)
(Reporting by Phuong Niyen; Editing and Managing by Martin Petty
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