Fuel costs in Egypt have surged sharply after the government announced price hikes of up to 30 percent, blaming mounting global energy pressures linked to the ongoing Middle East conflict.
The Egyptian petroleum ministry confirmed on Tuesday that the increases affect gasoline, diesel and natural gas used in vehicles. Officials said the adjustments were necessary due to severe disruptions in global energy supply chains triggered by the regional war.
According to the ministry, rising security risks and soaring maritime shipping and insurance costs have pushed petroleum product prices to levels not seen in years.
Global oil markets have been highly volatile in recent days. Prices briefly climbed above $119 per barrel on Monday before dropping to about $84 after US President Donald Trump suggested the conflict involving the United States, Israel and Iran could end soon.
Diesel and Petrol Prices Rise
Diesel, one of the most widely used fuels in Egypt, rose by three Egyptian pounds to 20.50 pounds per litre, up from 17.50 pounds — an increase of about 17.1 percent.
Lower-grade 80-octane gasoline climbed roughly 16.9 percent to 20.75 pounds per litre. Meanwhile, 92-octane gasoline rose about 15.6 percent to 22.25 pounds.
Premium 95-octane gasoline increased by around 14.3 percent to 24 pounds per litre.
The steepest adjustment came in natural gas used by vehicles, which jumped 30 percent to 13 pounds per cubic metre.
IMF Reform Programme Behind Price Adjustments
Egypt has repeatedly raised fuel prices as part of a broader economic reform programme tied to an $8 billion loan agreement with the International Monetary Fund (IMF).
The country has implemented four fuel price hikes in the past two years under the programme aimed at reducing energy subsidies and easing pressure on public finances.
Authorities had previously suggested that an increase of up to 13 percent introduced in October could be the final adjustment under the IMF-backed reform plan.
However, the latest surge in global energy costs linked to the Middle East crisis appears to have forced Cairo to reconsider.
Economists warn the new increases could push transportation and food prices higher across the country, adding pressure to households already grappling with high inflation.
