Egypt’s National Rail Authority (NRA) is unlikely to raise train ticket prices for now despite a sharp jump in fuel costs, a board member said.
The official, who spoke on condition of anonymity, told Al Manassa the agency plans to expand use of its assets to absorb about half of the impact from the latest diesel price increase. Any fare hike would require Cabinet approval and has not yet been formally raised, the official said, noting the broad effect on passengers.
Diesel prices rose by 3 Egyptian pounds (about 6 cents) per liter, adding roughly 1.5 billion pounds ($29 million) to operating costs, according to Bloomberg Asharq. The authority aims to generate an additional 750 million pounds ($14.4 million) through land investment, advertising, and other asset exploitation, while recording the remainder as a deficit, the source said.
The last increase in train ticket prices came in August 2024, when the Transport Ministry raised fares by between 20% and 40%, depending on the type of train and seat class.
After diesel prices rose by 3 Egyptian pounds ($0.06) per liter, the authority is facing roughly 1.5 billion Egyptian pounds ($29 million) in additional operating costs, according to a Bloomberg Asharq report.
The board member said the authority had previously targeted around 3.4 billion Egyptian pounds ($65.4 million) in returns from asset exploitation in the next fiscal year, whether through land investment or advertising activity. But the rise in fuel prices is pushing it to raise that target to more than 4 billion Egyptian pounds ($76.9 million).
NRA data show it owns about 191 million square meters of land suitable for investment, and it has recently expanded partnerships with the private sector. It signed a contract at the end of 2023 with the G3A consortium to manage and operate freight trains, and is also seeking to grant a company the right to manage and operate the new Russian trains, which total 1,350 carriages.
The authority may seek additional government support, the source said, on top of the subsidies it already receives to cover the gap between the actual cost of tickets and the reduced fares offered to eligible groups, including university students, people with disabilities, those injured in the revolution, and the families of those killed.
That would be similar to the support it received after fuel prices were raised last April. The Finance Ministry approved the disbursement of 1 billion Egyptian pounds ($19.2 million) in financial support starting in the second half of 2025 to avoid raising fares on Spanish air-conditioned and Russian trains, as Al Manassa previously reported.
The source said the authority will also work to cut spending alongside its revenue-raising plans by increasing reliance on locally made spare parts instead of imported ones, while tightening oversight of fare evasion.
Egyptian National Railways operates a network stretching more than 9,570 kilometers, serving 23 governorates and carrying nearly 420 million passengers a year. Diesel remains the main fuel used to run the fleet.
The board member added that the authority’s expenses have risen markedly in recent years, especially after it became obliged to pay interest on loans used to finance development projects, while the state covers the principal.
