5% rise in Egypt road projects’ costs due to fuel price hikes: official

The cost of the third phase of Egypt’s national road projects has risen by 30 million Egyptian pounds (1.6 million) as a backlash of the recent fuel prices hikes, an official said Thursday.

Egypt’s government increased early Thursday gasoline and diesel prices in the second fuel hike since currency floatation and the latest cut in state subsidies to ease the budget deficit.

The third phase of national road projects includes seven roads that will cost 10.5 billion pounds, Head of the General Authority for Roads and Bridges (GARBLT), Adel Turk said.

Ten major construction companies are assigned by the government to implement the projects, Turk told Amwal Al Ghad adding that the government targets to finish the projects within two years.

He elaborated that raising fuel prices for the second time after currency floatation in November 2016 has affected the costs of road construction which the government will bear.