Egypt projecting revenues from ‘sin’ tax to increase EGP 7 bn this fiscal year

Egypt is projecting that revenues from the ‘sin’ tax on tobacco will increase EGP 7 bn in FY2017-18 to EGP 54.5 bn, according to the Finance Ministry's budget explainer (pdf). This increase revenue comes on the back of raising the value-added tax rate to 14% and an increase in the number of smokers, a ministry source told Reuters Arabic on Monday. Eastern Tobacco Company had hiked prices on cigarettes EGP 0.2-EGP 2.25 back in July.