Al-Ahed Telegram
US Official to CNN: ’Israel’ behind Iraq-Syria Attack ’Israeli’ Minister Arrested for Spying for Iran! Netanyahu Meets Abdullah II in Amman Rouhani to Visit Europe in July, Seek Backing for JCPOA Libya: Haftar’s Forces Push against Militias in Oil Crescent Yemen: Our Complicity Lies Bare Netherlands: Bus Rams into Concert Goers, at Least One Killed Bahrain Crackdown: 3 Shia Clerics Sentenced to Death, 8 Others to Life Imprisonment Former ’Israeli’ Spy Chief: Iran, Hezbollah’s Energy, First Cyber Target German Chancellor Faces Ultimatum from Ally over Migrants #Occupied #Palestine: Dozens of #Israeli settlers storm #Aqsa Mosque, #occupation forces detain Chief of Guards "#Israeli" jets strike 9 targets in #Gaza Fire Hits #Scrapyard in Central #UK, Airport Closed 2 men stabbed to death in mosque in #SouthAfrica 2026 Football #WorldCup will be held in the #US, #Mexico and #Canada after #FIFA voted for the joint bid Wednesday 'There is No Longer #Nuclear Threat From N Korea' - #Trump #Yemeni Army's Spokesperson: Striking the #Saudi-led aggression's warship is a letter that the deterrence is at its start #Lebanese PM #Hariri in #Moscow to Meet #Putin A source in the #Yemeni naval forces: Other #Saudi barges retreated after the targeted one got on fire at Al-#Hudaydah port The #Yemeni naval forces target a #Saudi aggression’s barge near Al-#Hudaydah port
Guestbook mailinglist.php arabic site french site spanish site facebook twitter rss page
News Categories » NEWS » Africa » Egypt

Decrease Font Size Increase Font Size  Print Page
Egypt to Slash Electricity Subsidies in Austerity Move
Local Editor

Egypt announced Tuesday new cuts to electricity subsidies, raising prices by an average of 26 percent from July, the latest in a raft of tough economic reforms. Electricity Minister Mohamed Shaker said electricity costs for factories would rise by 42 percent and for households by 21 percent.

Egypt to Slash Electricity Subsidies in Austerity Move

Egypt has committed to cuts to energy subsidies and other tough fiscal measures as part of a three-year, $12 billion International Monetary Fund loan program begun in 2016.

The government of President Abdel-Fattah al-Sisi, re-elected for a second term this year, intends to take further tough measures, including fuel subsidy cuts expected in the summer.

Egypt's economy was hit during the years of unrest following the 2011 popular uprising that toppled President Hosni Mubarak.

The IMF has praised Egypt's economic reforms, which included a currency float in 2016 that halved the value of the pound.

Economists see some grounds for hope in reviving the economy, pointing to indicators such as GDP growth, which rose to 5.4 percent in the third quarter of 2017-2018, up from 4.3 percent during the same period the previous fiscal year.

The government has said electricity subsidies will be phased out completely by the end of the 2021-2022 fiscal year.

Egypt will be "forced to increase administered prices by more than it otherwise would have done in order to meet IMF mandated fiscal targets," Capital Economics said in a report in May. It said fuel price rises would have to rise by 60 percent in July to keep the program on track.

Many ordinary Egyptians have been hit hard by the austerity measures, especially the currency devaluation. But the moves are seen as vital to improve the battered economy, however.

Source: News Agencies, Edited by website team

13-06-2018 | 14:52

Comment Title
Human Verification

News Coverage

Related News

To Top