Egypt raises fuel prices by up to 66.6% to push reforms

Egypt on Saturday increased fuel prices by up to 66.6 per cent to meet an International Monetary Fund (IMF) loan deal and push the implementation of economic reform plans, the Oil Ministry said in a statement.

Oil Minister Tarek al-Molla said prices for cooking gas increased from 60 Egyptian pounds (3.4 U.S. dollars) to 100 pounds per cylinder for commercial use.

The 92 octane gasoline increased from 5 pounds to 6.75 pounds per liter. The 80 octane gasoline increased from 3.65 to 5.5 pounds, reported Xinhua news agency quoting the statement.

The new prices went into effect since Saturday morning, said the statement.

This is the third time the government has increased fuel prices since austerity measures were announced late 2015.

Egypt has been suffering economic slowdown over the past few years of political instability and relevant security challenges.

The country hopes to increase production and exportation and to revive tourism as ways to boost its economy, with a strict three-year economic reform plan, which started in late 2016, based on austerity measures, fuel and energy subsidy cuts and tax hikes.

Including full local currency floatation, Egypt's reform plan has been encouraged by a 12-billion-dollar loan from the IMF, half of which has already been delivered to the most populous Arab country.

--IANS

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