{"id":663627,"date":"2025-04-13T00:00:00","date_gmt":"2025-04-13T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2025\/04\/13\/govt-hikes-fuel-prices-by-up-to-14-8\/"},"modified":"2025-04-13T00:00:00","modified_gmt":"2025-04-13T00:00:00","slug":"govt-hikes-fuel-prices-by-up-to-14-8","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2025\/04\/13\/govt-hikes-fuel-prices-by-up-to-14-8\/","title":{"rendered":"Gov\u2019t hikes fuel prices by up to 14.8%"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong>Prices at the pumps are going up for the first time in 2025<\/strong>, after the Oil Ministry\u2019s fuel pricing committee raised fuel prices by 11.8-14.8% over the weekend, it said in a <a target=\"_blank\" href=\"https:\/\/www.facebook.com\/EgyptMOP\/posts\/pfbid033aHXTDFaKYnu3B4VVqR4hfabPZKor1TYPoKpHS8F6sLLBLrR1ZhUMQYNdg64pDuzl\" style=\"\" rel=\"noopener\">statement<\/a>. The government last <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/2e1e29b9-af1f-412d-9492-354ca6e76353\/egypt-hikes-fuel-prices-for-the-third-time-this-year\" style=\"\" rel=\"noopener\">hiked prices at the gas station back in October 2024<\/a>, when it hiked prices by up to 17.4% for some types of fuel.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">(<strong>Tap or click the headline above to read this story with all of the links <\/strong>to our background as well as external sources.)<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>A look at the new prices at the gas station: <\/strong><\/p>\n<ul>\n<li><strong>95-Octane<\/strong> now costs <strong>EGP 19.00<\/strong> per liter, up 11.8% from EGP 17.00;<\/li>\n<li><strong>92-Octane <\/strong>rose to <strong>EGP 17.25<\/strong> per liter, up 13.1% from EGP 15.25;<\/li>\n<li><strong>80-Octane<\/strong> reached <strong>EGP 15.75<\/strong> per liter, up 14.5% from EGP 13.75;<\/li>\n<li><strong>Diesel and kerosene<\/strong> now cost <strong>EGP 15.50<\/strong> per liter, up 14.8% from EGP 13.50;<\/li>\n<li><strong>Drivers of natural gas-powered vehicles were spared the hike<\/strong>, with the committee deciding to leave prices unchanged for them at the pump.<\/li>\n<\/ul>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The price for a 12.5-kg butane gas cylinder also rose, increasing to EGP 200<\/strong>, up 33.3% from 150 EGP, while the commercial cylinder now costs EGP 400, up 33.3% from EGP 300. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Industrial mazut also saw a hike<\/strong>, with mazut supplied to most industrial sectors rising 10.5% to <strong>EGP 10.5k<\/strong> per ton. But there was good news for the food industry and electricity generation, with mazut prices for them kept at the same levels as before.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The statement made no mention of whether household natural gas prices were adjusted or left unchanged.<\/strong><\/p>\n<p class=\"tag-border-left\">THE AFTERMATH- <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Users of public transport in the capital are also going to feel the pinch<\/strong>, with fare hikes <a target=\"_blank\" href=\"https:\/\/www.facebook.com\/CairoGovernment1\/posts\/pfbid0fGoXrWMFpcELym8BKbLpG5C8XE3rhMST3wUsima5pGQ5hpEKL8yxf9Q4d35khK2hl\" style=\"\" rel=\"noopener\">announced by Cairo Governorate<\/a> <strong>: <\/strong><\/p>\n<ul>\n<li><strong>Public bus fares <\/strong>rose to <strong>EGP 10<\/strong> up from EGP 9 for regular buses and <strong>EGP 20<\/strong> up from EGP 17 for air-conditioned vehicles, <\/li>\n<li><strong>White taxi meters in Cairo will now start at EGP 11.5,<\/strong> up from EGP 10.5 and<strong> rising to EGP 2.25 per km.<\/strong><\/li>\n<li><strong>Minibus travel in Cairo <\/strong>will now cost<strong> EGP 16 <\/strong>up from EGP 14, and <strong>EGP 19<\/strong> up from EGP 17 for air-conditioned vehicles.<\/li>\n<\/ul>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Despite the cut in subsidies, the state still spends EGP 366 mn per day and EGP 11<\/strong><strong> bn a month on fuel subsidies<\/strong>, according to a separate <a target=\"_blank\" href=\"https:\/\/www.facebook.com\/EgyptMOP\/posts\/pfbid02PiwmBerDuqg31JdELLLyEKeYMPRE6i3R4o47qErrmVjgGQhZ2k2KHGinQof8aassl\" style=\"\" rel=\"noopener\">statement<\/a> from the ministry. Prime Minister Moustafa Madbouly <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/6d01a66f-0aec-45b9-9ebb-73a3b2ef476b\" style=\"\" rel=\"noopener\">reiterated as early as recently month<\/a> the country\u2019s intention to have energy prices reach cost recovery levels by the end of the year by phasing out all fuel subsidies in line with its structural reform agenda with the International Monetary Fund.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>But some think the IMF may agree to slow the pace of energy reform<\/strong>, including Al Ahly Pharos Senior Economist Esraa Ahmed, who told us that getting fuel prices up to cost recovery levels by end of the year would cause \u201cdrastic and rapid movements\u201d in inflation. Although the details of the discussions are still mostly unknown, Madbouly <a target=\"_blank\" href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/5915c925-ff5d-404b-85af-3d657f921b3c\/government-to-unveil-revamped-privatization-program-before-december\" style=\"\" rel=\"noopener\">said in a presser<\/a> near the end of last year that the two sides were negotiating \u201chow we can postpone some of the targets so that we do not put pressure on the citizens in the coming period.\u201d<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Subsidy cut slowdown or not, we shouldn\u2019t see any more fuel price hikes for the next six<\/strong><strong> months<\/strong>, the Oil Ministry confirmed.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>But shouldn\u2019t a decrease in global oil prices be reflected at the pumps? <\/strong>Although Brent crude futures are currently at USD 64.76 per barrel, down 13.4% over the month, the decision to hike prices will help the government avoid budget strain from previous oil import contracts signed before the current dip in global prices, two government officials told EnterpriseAM. The government moved quickly to secure new low-price contracts, anticipating US-China trade tensions and other global uncertainties to impact markets.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Analysts we spoke to all agreed that the move will add to inflationary pressures <\/strong>\u2014 and even push up the headline figure. Banking expert Mohamed Abdel Aal forecast the move to have direct and indirect impact that could see headline inflation reaching 15.5%, while Zilla Capital\u2019s Aya Zoheir expects the decision to push April\u2019s inflation to reading to the 14% mark. Some, including economist Mona Bedair, argued that although the \u201cphased adjustment of domestic energy prices may introduce mild inflationary pressures ahead, these factors do not overshadow the broader trend of easing domestic inflation.\u201d<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Unlike most other goods or commodities, an increase in fuel prices doesn\u2019t just increase <\/strong><strong>the price at the gas station<\/strong>, but also in the souq, the supermarket, and for any goods that need to be transported. HC Brokerage\u2019s Equity Research Head Nemat Choucri told us that the diesel price hike would increase food transportation costs and in turn food and beverage prices, while the mazut price increases \u201cwould increase the production cost for the industrial sector and hence would lead to higher prices of industrial products.\u201d<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Fuel price hikes \u201cwill add a new layer of complexity to the Monetary Policy Committee\u2019s <\/strong><\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>[interest rate] decision<\/strong>,\u201d economist Hany Abou El Fotouh told us, adding that \u201cthis increase is expected to lead to higher inflation readings in the coming months, which may prompt the central bank to adopt a more conservative approach and hold off on cutting interest rates.\u201d<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The international press also took note of the hike:<\/strong> <a target=\"_blank\" href=\"https:\/\/www.reuters.com\/world\/americas\/egypt-raises-fuel-prices-first-time-2025-local-media-report-2025-04-10\/\" style=\"\" rel=\"noopener\">Reuters<\/a> <\/p>\n","protected":false},"excerpt":{"rendered":"<p>We shouldn\u2019t see any more fuel price hikes for the next six months, the Oil Ministry confirmed<\/p>\n","protected":false},"author":1,"featured_media":663628,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7207],"tags":[93,72,819,91],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-663627","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-energy","tag-energy","tag-enterpriseam","tag-fuel","tag-oil-and-gas","wpautop","entry"],"acf":{"mongo_id":"a9f5df8f-c96f-419c-ad3a-98ea585d16c7","order":"4","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2025\/4\/657.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Egypt hikes vehicle fuel prices by up to 14.8%","related_issue":[663622],"teaser":"We shouldn\u2019t see any more fuel price hikes for the next six months, the Oil Ministry confirmed","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2025\/4\/.096599e9-41d7-4d95-b57a-70355f249296.mp3"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - 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