Egypt has ended fuel subsidies for the majority of oil products, bringing an end to four years of reform that has seen the average price of gasoline almost triple and diesel prices rise by a whopping 514% in local currency terms, since Cairo began removing subsidies on oil products in June 2014.
Subsidies and grants are forecast to make up 20% of the government’s overall spending this year, down from 33% in the 2014-15 financial year, and this move should help bring down the budget deficit from 8.4% of GDP in 2018-19 to 7.2% this year. (CONTINUED - 818 WORDS)
