CAIRO, May 21 (Xinhua) -- Egypt's electricity and energy minister announced on Tuesday a new increase in electricity prices ranging from 6.6 to 18 percent, based on consumption.
The move is part of the country's economic reform program that includes lifting energy subsidies completely within a few years.
The new prices will be applied in July 1, Minister of Electricity and Energy Mohammed Shaker said in a press conference.
"The government aims to cut electricity subsidies to around 1.3 billion U.S. dollars a year from the current level of around 2.9 billion U.S. dollars," Shaker said.
The government raised electricity prices last year from 18 to 42 percent.
Egypt started its plan to cut electricity subsidy in 2014 and it will completely finish it in the fiscal year 2021-2022. Egypt's fiscal year starts in early July and ends in late June.
Suffering an economic crisis over the past few years due to political issues and security challenges, Egypt fully floated its local currency in 2016 as part of a three-year strict economic reform program, which is encouraged and supported by a 12-billion-dollar loan from the International Monetary Fund.
