Egypt raises the cost of public transportation and diesel

 

Due to the recent rise in the price of crude oil on a worldwide scale and the depreciation of the local currency, Egypt has increased the price of diesel by about 14%.

The price of the gasoline used to power the majority of the nation's public transportation would increase by 1 Egyptian pound to 8.25 Egyptian pounds ($0.27) per litre as of Thursday.

According to a statement from Egypt's domestic fuel pricing committee, the decision was taken "in light of the increase in international prices for crude oil and petroleum products as well as the exchange rate of the pound against the dollar".

Consequently, the Egyptian Ministry of Local Development announced a 10% increase in public bus fares.

The cost of gasoline won't alter. It was the second meeting of the year. First, in March, the committee increased the price of domestic fuel by 0.75 Egyptian pounds per liter of 80-octane gasoline and by 1 Egyptian pound to 10.25 pounds per liter of 92-octane fuel.

Premium 95-octane gasoline now costs 11.50 pounds per litre, an increase of 0.75 pounds. Additionally, the cost of natural gas for automobiles was raised from 3.75 to 4.50 pounds per cubic metre.

In exchange for financial support from the IMF, Egypt has promised to progressively cut the subsidies it provides to its 104 million citizens, 30% of whom are considered to be living in poverty.

According to a statement made earlier this year, the country's Finance Ministry has set aside 119.4 billion Egyptian pounds, or almost $3.8 billion, to subsidize petroleum goods in the 2023–2024 fiscal year.