Diesel subsidies’ cost reached around EGP 150m per day following the recent fuel price increase as every 1 litre of diesel is subsidised by EGP3, Deputy Head of the Egyptian General Petroleum Corporation (EGPC), Khaled Othman, told Amwal Al Ghad.

Egypt pumps around 50m litres of diesel on a daily basis in order to face the increasing demands as Egyptian consumption rises by 7% annually, Othman added.

Egypt secures a part of the diesel consumption from Egyptian refineries and imports the remaining demands.

On June 29, the Cabinet decided to cut fuel subsidies in order to ease the budget deficit. The price of 92-octane gasoline rose to EGP 5 from EGP 3.5 per litre, and diesel and 80-octane, the most commonly used fuel category, increased from EGP 2.35 per litre to EGP 3.65 per litre.