Egypt raised domestic fuel prices Friday for the second time this year, part of a sweeping economic reform program aimed at reducing subsidies and meeting conditions tied to an $8 billion loan agreement with the International Monetary Fund.
The Ministry of Petroleum and Mineral Resources said prices for diesel and gasoline rose between 10.5% and 12.9%. Diesel increased to 17.50 Egyptian pounds ($0.37) per liter, up from 15.50 pounds. The price of 80-octane gasoline rose to 17.75 pounds per liter, 92-octane to 19.25 pounds, and 95-octane to 21 pounds. The new rates took effect at 6 a.m. local time (0300 GMT).
The ministry said fuel prices would be frozen for at least one year “as a result of the events taking place locally, regionally, and globally.”
The IMF has urged Egypt to scale back subsidies on fuel, electricity, and food while expanding social safety nets. In July, Prime Minister Mostafa Madbouly outlined a plan to phase out fuel subsidies entirely by the end of 2025.
The price hikes come amid rising inflation and a weakening currency, as Egypt continues to grapple with the economic fallout of regional instability and global market pressures.