Egypt’s oil minister Sherif Ismail said he expects a decline total subsidy for crude products by around EGP 30 billion ($4.2 billion) during the fiscal year 2014/2015 to reach EGP 70 billion ($9.75 billion), thanks to the drop in global oil prices.
Crude had slumped last week to its lowest levels since May, 2009, reaching $58.50 per barrel, thus losing more than 50% of its value since late June. The oil slump was caused by supply glut from U.S. production and weak economic growth, in addition to the decision of OPEC member states to maintain output ceiling.
The minister added that the total subsidies for crude products amount to around EGP 100 billion in 2014/2015 budget.
Photo Credit: Arabianeye-Reuters
Crude had slumped last week to its lowest levels since May, 2009, reaching $58.50 per barrel, thus losing more than 50% of its value since late June. The oil slump was caused by supply glut from U.S. production and weak economic growth, in addition to the decision of OPEC member states to maintain output ceiling.
The minister added that the total subsidies for crude products amount to around EGP 100 billion in 2014/2015 budget.
Photo Credit: Arabianeye-Reuters
Source:
Mubasher
