The price of onion skyrocketed to as high as 60 Br a kilogram, twice the price registered before the Ethiopian New Year holiday. It came as a shock for consumers who is experiencing the worst inflation in a decade, hitting 30% last month.
A major setback for the government implementing a wide range of administrative and policy measures to curb the inflationary pressure, the spike is caused by a fall in imported onion from Sudan, a surge in transportation cost and fall in production in onion-growing areas.
Recently, regional governments and city administrations have been closing businesses over the allegations of price gouging and hoarding.
On its part, the Addis Ababa City Administration has also prohibited landlords from making adjustment on housing rent, as a part of its efforts curb the growing inflationary pressure.