(Ecofin Agency) - The Egyptian government will increase its funds directed to food subsidy system during the 2018-19 fiscal year which begins in July.

According to Reuters which mentioned official documents, the amount granted is expected to grow by 5% to EGP86 billion (around $4.8 billion) from EGP82.17 billion (about $4.6 billion).

Nevertheless, this increase contrasts with the subsidy cuts for fuel and electricity, dropping them by a quarter and a half, respectively, compared with 2017-18.

Let’s recall that in Egypt, food subsidy is based on a ration cards system that enables nearly 70 million Egyptians to benefit from essential commodity quotas mainly bread, rice and sugar.

Espoir Olodo