Egypt has increased domestic fuel prices for the second time in 2025, raising petroleum product prices by up to 12.7 percent before announcing a freeze for at least one year. The decision, published in the official gazette and reported by Reuters, is part of the government’s broader economic adjustment efforts under its $8 billion loan agreement with the International Monetary Fund (IMF).
Under the new pricing structure, diesel now sells for 17.50 Egyptian pounds per litre, up from 15.50 pounds. Meanwhile, 80-octane gasoline rose to 17.75 pounds, 92-octane to 19.25 pounds, and 95-octane to 21 pounds per litre. The Ministry of Petroleum said the move reflects global oil price trends, local currency depreciation, and higher import costs, while the one-year freeze is aimed at providing price stability for consumers.
Authorities confirmed that Egypt will maintain diesel subsidies despite the broader price adjustments, as the commodity remains vital for transportation and agriculture. “The freeze will help curb inflationary pressures and provide predictability for businesses and households,” a senior official at the Ministry of Petroleum told Reuters.
Economic analysts suggest the policy demonstrates the government’s balancing act between fiscal discipline and social stability. As highlighted by Bloomberg and Reuters, Egypt’s commitment to subsidy reform is expected to improve its fiscal outlook, though the government faces continued pressure to mitigate the impact of higher living costs on low-income citizens.
