The Director of the Center for Budget Advocacy (CBA) of the Integrated Social Development Centre (ISODEC), Vitus Azeem, has said the effect of the recent increment in petroleum products may erode the economic gains so far made by the country.

He said inflation which was 13 per cent as at the end of November 2002, could go up again as the increment may throw the economy out of gear.

In an interview with THE WEEKEND AGENDA , Azeem said the increment which is long over due could have been staggered; ?The increment could have been done quarterly instead of accumulating it over a long period of time?.

He said a better way out of managing inflation in future could be to ann- ounce price increment of utilities, petroleum products and salary increment simultaneously since all three bring about price hikes and destabilizes the economy.

He however said the government should keep to its promise of reducing fuel allocation and allowances for government officials.