July 7, 2019
Egyptian Prime Minister Mustapha Madbouly decided to implement the “automatic pricing of petroleum products” at the end of last June, in order to link the local selling price to average world prices.
The decision of the Egyptian government to follow up on the implementation of an automatic pricing mechanism would be through a “competent government committee” presenting its recommendations on ensuring implementation by the Ministers of Petroleum and Finance. The announcement of the new prices will be at the end of next September and applied on October 1, 2019.
According to the government’s decision the committee would be responsible for the mechanism of the automatic pricing of petroleum products, including international oil prices, the exchange rate of the EGP against USD and internal operating burdens which are at least 10 per cent.
On Friday the Egyptian government raised the price of petrol, diesel and gas for the fifth time since President Abdel Fattah al-Sisi took office in 2014, as part of its plan to eliminate fuel subsidies and reduce the budget deficit.
Since President al-Sisi took office, the price of cooking gas rose from EGP 5 in 2013 to EGP 65 in 2019.