Within a year oil products to the amount of $8.7 billion will be delivered by the United Arab Emirates to Egypt. Yesterday official representative of the Egyptian Oil & Gas Corporation said that shipment of fuel will begin in September 2014.
At present Egypt faces shortage of energy resources and is forced to import fuel to the amount between $1 and $1.3 billion a month. Earlier the Egyptian government allocated over $15 billion of subsidies – almost one fifth of its budget – a year to maintain the price of petrol and other lubricants, Reuters reported.
In July 2014 the Egyptian government reduced the subsidies for the most popular types of petrol, which has led to a significant rise in prices. By July 5, 2014 fuel cost in the country increased by an average 70%.
Right after the dethronement of President Mohammad Nursi by the army in July 2013 and relieving of the Muslim Brotherhood Association of powers, UAE, Saudi Arabia and Kuwait offered a support to a temporary government of Egypt and the road map of the transitional period offered by the military. These countries have already provided aid to Cairo, such as credits, grants and oil products – to the amount of $20 billion.
