![A worker fills a car's tank at a petrol station in Cairo, Egypt [File: Mohamed Abd El Ghany/Reuters]](https://kumasi.city/wp-content/uploads/2024/07/2020-04-10T000000Z_126944531_RC2W1G9S2LE6_RTRMADP_3_EGYPT-FUEL-1721906530-1-770x470.webp)
- Cairo is increasing fuel costs for the second time
- Egypt seeks to secure a crucial loan from the IMF
- The government is under immense pressure
Cairo is increasing fuel costs for the second time this year as it seeks to secure a crucial loan from the International Monetary Fund (IMF).
The decision, which takes effect on Friday, involves a 15% price hike for petrol and diesel.
This move is part of a broader economic reform package demanded by the IMF in exchange for a $8 billion loan. Egypt aims to phase out fuel subsidies entirely by the end of 2025.
The country has been grappling with a severe economic crisis, characterized by soaring inflation, a depreciating currency, and rising poverty rates.
The government is under immense pressure to address its financial woes while mitigating the impact on its citizens.
The latest price hike is expected to further strain the budgets of ordinary Egyptians, many of whom are already struggling to make ends meet.
As Egypt navigates this challenging economic landscape, the government will need to carefully balance the need for fiscal discipline with the welfare of its population.
