oil price uncertainty becomes major budget concern for egypt amr in South Africa

businessmonthlyeg2025 Oil Price Forecast: Global Dependency

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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bne IntelliNewsHigher oil prices pose risk to Egypt’s strained budget

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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dabaEgypt Signs Contracts to Hedge Against Petroleum Price

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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BloombergEgypt Pivots to Cheap Oil as Gas Proves Too

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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OilPriceEgypt is Scrambling For Cheap Oil and LNG as its

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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Egypt Oil & GasUncertainty Amid Egypt’s Mounting Debt to IOCs Egypt Oil

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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OilPriceEgypt Feels The Squeeze Of Higher Oil Prices

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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Emerald InsightHow does oil price uncertainty affect output in the Central

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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U.S. Energy Information Administration (EIA)Country Analysis Brief: Egypt

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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OilPriceMiddle East Conflict Sends Egypt Scrambling to Replace

oil price uncertainty becomes major budget concern for egypt amr in South Africa
                                               
                                               
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  • Why is Egypt reducing fuel subsidies?
  • Despite global oil prices stabilizing at levels lower than expected in Egypt's budget, continued high local consumption is putting increasing pressure on the government to gradually reduce subsidies. In the FY2024/2025 budget, fuel subsidy allocations amounted to EGP 154.5 billion, one of the highest levels in recent years.
  • What happens if oil prices go up in Egypt?
  • Officials from Egypt’s government told Al Borsa on June 16 that every $1 increase in global oil prices above the budgeted level adds roughly EGP 4bn–4.5bn ($76.9mn-$89.5mn) per year to public spending and exerts more pressure on the fiscal policies. Brent now hovers at $74.23 per barrel and WTI at $72.98.
  • How much money does Egypt spend on fuel subsidies in FY 2024/25?
  • In H1 of FY 2024/25, Egypt’s fuel subsidies amounted to EGP 71bn ($1.41bn), nearly half of the annual allocation of EGP 154bn. The 2025/26 budget anticipates a sharp reduction to cap fuel subsidies at EGP 75bn. This is part of a wider subsidy reform strategy to free up resources for priority development initiatives.
  • Will Egypt be able to liberalize energy prices by 2025?
  • Despite Egypt’s commitment to its agreement with the IMF to liberalize energy prices by the end of 2025, Kamal believed that full implementation would be rare. "No country in the world has adhered to the IMF or World Bank’s recommendations to the letter.
  • How does diesel price affect the cost of living in Egypt?
  • Therefore, any increase in its price directly impacts the cost of living. "About 70 percent of transportation in Egypt runs on diesel, and any increase in its price leads to higher production, transportation, and distribution costs. This is why the concerned bodies in the country handle it very carefully," Ragheb explained.
  • Why is the government compelled to review fuel prices?
  • Thus, the government is compelled to review prices. "The exchange rate rose by about 55 percent in March 2024, leading to a significant increase in the cost of importing fuel, and the state absorbed this cost for a period, but it is natural for them to start passing it on gradually to the final consumer," he added.