Families need to spend 45,000 DZ in Ramadan

Simple families have to spend least 45,000 DZ to meet their needs during the fasting month of Ramadan as food prices increased by 36 percent.

Consumption habits radically change in Ramadan as Algerians buy large quantities of food while middle class families could not satisfy their children’s demands.

According to economist Abdelmalek Serrai, cultural and religious sensitization is the only efficient way to encourage families to give up bad habits.

Simple families and retired people have to save money for Ramadan while others borrow money. About 12 percent of the Algerian population can afford to buy everything sold in markets. They include industrials, traders and senior officials. “They are behind the prices rise because they spend a lot of money,” said the economist.

Farid Benyahia, an expert in economics believes that a five-member-family needs a 45,000 DZ-budget.

He says figures show that about 10 million people are living near to poverty line in Algeria compared to 3 million rich and 15 million of the middle class.

Although prices are high in Ramadan, 2 percent of bread is thrown in garbage everyday compared to 38 percent of food made of sugar and flour.

According to Serrai, prices increase because some traders hide surplus goods and sell them when there is shortage to keep prices high.