Egypt is raising fuel prices for the second time in four months, fulfilling an economic reform condition set by the International Monetary Fund (IMF) to unlock hundreds of millions in new loans.
Egypt’s official gazette reported an up to 15 percent price hike for petrol on Thursday, four days before the IMF is to review its $8bn loan programme, the next tranche of which is $820m.
The new prices will take effect on Friday, said Egypt’s Ministry of Petroleum and Mineral Resources.
Petrol prices jumped about 15 percent and will now range from 12.25-15 pounds ($0.25-$0.31) per litre.
The decision will also make diesel, one of Egypt’s most commonly used fuels, costlier, taking its price from 10 Egyptian pounds ($0.21) to 11.50 pounds ($0.24).
As part of its IMF bailout deal, Egypt agreed to gradually slash fuel subsidies, which take up a chunk of its cash-strapped budget.
Egypt introduced an initial round of price hikes in March to bring domestic …