As of this Saturday morning, the Minister of Petroleum Tarek Al-Mula announced the increase in prices of petroleum for the fourth time since 2016. Al-Mula stated that this increase helps eliminate the negative impacts of the subsidy system in Egypt.
The ministery released a statement explaining the increase in detail;
- 95 octane gasoline increased from 6.6 pounds to 7.75 pounds/liter, approximately a 17.5 percent increase.
- 92 octane gasoline increased from 5 pounds to 6.75 pounds/liter, which is about a 34-percent increase.
- 80 octane gas increased from 3.65 to 5.5 pounds/liter, nearly a 50 percent increase.
- Cooking gas increased from 60 to 100 pounds/cylinder for commercial use, a more than 60-percent increase.
- The price of cooking gas for home use rose from 30 to 50 pounds per cylinder.
“Moving fuel prices will help reduce petroleum product consumption by about 5 percent,” Oil Minister Tarek Al-Mula said in a statement.
The increase took place while Egyptians are celebrating the second day of Eid Al-Fitr. However, it was expected as its part of the International Monetary Fund conditions that Egypt agreed on.
The IMF implied conditions on Egypt which included removing subsidies, imposing a value-added tax and currency flotation in return of a three-year 12$ billion loan to help with Egypt’s economic reform plan.