Egypt raises gasoline, diesel prices for third time this year

Egypt raised prices on a wide range of fuel products early on Friday, the petroleum ministry said, marking the third such increase this year.

Prices for diesel fuel, one of the most commonly used fuels in the country, were raised by 17 per cent to 13.50 Egyptian pounds ($0.2779) per litre from 11.50 pounds.

Gasoline prices increased from 11 per cent to 13 per cent depending on the grade, with 80 octane gasoline rising to 13.75 Egyptian pounds, 92 octane to 15.25 pounds, and 95 octane to 17 pounds.

Prime Minister Mostafa Madbouly said in July that prices of petroleum products will gradually increase until the end of 2025, adding that the government could no longer bear the burden of paying the subsidies on fuels amid increasing consumption.

But the government's fuel pricing committee, which typically convenes each quarter, said on Friday its next meeting will be held in six months.

Egypt previously increased petrol and diesel prices in March and July this year. 

The increase in prices in part of an International Monetary Fund (IMF) bailout deal. It aims to fully remove fuel subsidies, which makes up a large portion of its budget by 2025, according to  government spokesperson Mohamed el-Homossan. 

The price hikes come as Egypt battles the worst economic crisis in decades, with foreign debt causing inflation and the devaluation of the Egyptian pound against the dollar. 

Since January 2022, the Egyptian pound has lost around 50 per cent of its value against the US dollar. Meanwhile, nearly 30 per cent of Egyptians live in poverty, according to official figures.