Mozambique forbids bread and fuel subsidies.

In the face of rising living costs, the Mozambican government has ruled out bread and petrol subsidies.

Such measures, according to Prime Minister Adriano Malelane, are unsustainable and will benefit those who do not require them.

The government has been called upon to intervene in the growing pricing of critical commodities.

"We need to figure out how to deal with the escalating fuel price situation."

Some argue that the government should pay a subsidy, but let's be honest: there is no such thing as a sustainable subsidy since it must be funded by taxes," Mr. Malelane told business owners in Nampula province during a visit.

"The government wants to help people who are truly in need." Because of the price of wheat, the same is true for bread.

Subsidizing the bakery is unsustainable since everyone will want to buy the subsidized bread, which the government does not desire.

"The government wants to help just those who can't afford it," he added.

Following an increase in petrol and bread costs in 2010, Mozambique saw fatal protests.