On Tuesday, Egypt implemented fuel price hikes of up to 30 percent, attributing the increases to “exceptional” pressures on global energy markets caused by the ongoing Middle East conflict, which has disrupted oil supplies and shipping routes.
The petroleum ministry announced that the adjustments affect gasoline, diesel, and vehicle-use natural gas.
According to the ministry, rising petroleum prices are driven by “supply chain disruptions, elevated risk levels, and increased maritime shipping and insurance costs,” reaching levels “unseen in years.”
Oil briefly surged past $119 per barrel on Monday but fell to around $84 following comments from US President Donald Trump that the US-Israel conflict with Iran would soon end.
Diesel, one of Egypt’s most commonly used fuels, increased by three Egyptian pounds, a rise of about 17.1 percent, reaching 20.50 pounds ($0.38) per litre from 17.50 pounds.
For gasoline, 80-octane rose roughly 16.9 percent to 20.75 pounds per litre, while 92-octane increased by approximately 15.6 percent to 22.25 pounds. Prices for 95-octane gasoline climbed 14.3 percent to 24 pounds per litre.
Vehicle-use natural gas saw the steepest increase, surging 30 percent to 13 pounds per cubic metre.
Fuel prices in Egypt have been raised four times over the past two years under an $8 billion loan programme from the International Monetary Fund.
The petroleum ministry noted that a 13 percent increase in October had been expected to be the last adjustment under the IMF plan, making this new hike a notable deviation.