On the second day of Eid al-Fitr, the holiday that marks the end of the holy month of Ramadan, Egyptians were preoccupied with a 60 percent rise in gasoline prices ordered by the Petroleum Ministry Saturday.
It is the second such hike by the government since Egypt floated its currency in November 2016, under a strict IMF reform plan.
Although the price hike was expected, it nevertheless sparked popular dismay that was expressed on social media and the streets, even reaching parliament.
The Ministry of Petroleum said the government took a series of measures and policies to decrease the negative repercussions caused by the fuel hike and to consider the social impact of such a decision.
The hike came days after an increase in the price of electricity, water and metro fares as part of reforms the government said “were necessary to help bridge the country's general budget deficit as oil prices continued to surge,” topping $80 per barrel.
According to the Petroleum Ministry decision, the price of 95 octane gasoline increased by 17.4 percent to 7.75 Egyptian pounds a liter from 6.60 pounds; 92 octane was raised by 35 percent to 6.75 pounds a liter from 5 pounds and 80 octane went up to 5.50 pounds a liter from 3.65 pounds.
The ministry also raised the price for a canister of household gas to 50 pounds from 30, while a bottle of gas for commercial purposes was raised to 100 pounds from 60, Reuters reported.
Meanwhile, Prime Minister Mustafa Madbouly said a 50.7 percent hike in diesel prices should not affect the bread prices.
He said the Ministry of Supply would bear the extra cost for bakeries to ensure that the price of Egypt’s main staple remains unchanged.
