Cairo – Mubasher: Following the recent fuel hikes, the Egyptian government said it would provide an additional sum of around EGP 5 billion to produce subsidised bread, a source at the supply ministry said.
With the new EGP 5 billion, the total cost of producing subsidised bread will amount to around EGP 60 billion, up from EGP 55 billion, sources told Al-Mal newspaper, adding that this figure will be used to produce 1.375 billion loaves of bread a year.
Production costs for each loaf of bread amount to 60 piasters at the moment, of which the government pays 55 piasters and the ration card holders afford only 5 piasters.
On Saturday, the second day of the Eid al-Fitr holiday, the government raised fuel prices.
Total fuel subsidies amount to EGP 89.1 billion in FY18/19 budget, compared to EGP 110.2 billion in the current fiscal year.
