Egypt raised domestic fuel prices on Tuesday, bringing forward increases officials had been weighing for April as war-related turmoil and regional tensions drove up global oil prices and the dollar.
The move signals that the fallout from the war is already feeding into domestic energy costs, and further increases may still be ahead. A Finance Ministry source told Al Manassa the government also plans to approve new electricity-price hikes starting with April bills, after a period of delay, with the biggest increases expected to fall on high-consumption brackets.
Prices for diesel and all grades of gasoline rose by 3 Egyptian pounds a liter, bringing diesel to 20.50 pounds a liter, 80-octane gasoline to 20.75 pounds, 92-octane to 22.25 pounds, and 95-octane to 24 pounds. These prices represent increases of about 14% to 17%, with diesel seeing the highest rise and 95-octane the lowest.
Liquified gas for vehicles increased by 30% from 10 to 13 pounds, while cooking gas canisters rose from 225 to 275 pounds, an increase of more than 22%.
Days after the war broke out, Prime Minister Mostafa Madbouly said the state could resort to “temporary exceptional measures” if global fuel prices rose sharply and spiraled out of control, adding that the government was drawing up different scenarios for a prolonged war so it would have a clear picture, while stressing it “will not take sudden measures.”
The move comes only months after the last domestic fuel-price increase in October, with across the board increases on diesel and gasoline of 2 pounds per liter (as much as 13%). The government committed at the time to freeze prices for at least a year.
Brent crude jumped sharply at the start of this month to over $100 a barrel, its highest level since 2022, on fears that any closure of the Strait of Hormuz would disrupt global oil shipments. The benchmark fell back to below $93 on Tuesday morning, however, following comments from US President Trump signaling that the war with Iran may be nearing its end.
According to a Petroleum Ministry source, Egypt relies on imports to cover a gap of between 230,000 and 250,000 barrels of oil a day. The local market consumes 750,000 barrels a day, while domestic production ranges between 500,000 and 520,000 barrels a day.
The Finance Ministry source said the planned electricity-price increase would focus mainly on high-consumption brackets, at rates ranging from 25% to 30%, while smaller increases would be applied gradually to lower brackets allocated to basic household use.
Egypt’s balance of payments for fiscal year 2024-2025 showed petroleum imports rising to record levels of $19.4 billion, compared with $7.6 billion in the previous fiscal year, driven by higher imports of liquefied natural gas and petroleum products.
