Egypt reviews war fallout, says strategic reserves at unprecedented levels

Egypt said its strategic reserves of key commodities were at “unprecedented” levels, with supplies of some goods exceeding one year, as the government moved to contain the economic fallout from escalating regional conflict involving Iran, Israel, and the United States.

Prime Minister Moustafa Madbouly chaired a meeting of the government’s crisis management committee on Tuesday to assess the impact of the regional war on Egypt’s economy, energy supplies, and domestic markets.

Supply Minister Sherif Farouk said reserves of several strategic commodities exceed 12 months, while others cover more than eight months, according to a Cabinet statement.

The comments come as governments across the Middle East monitor potential disruptions to trade flows, energy markets, and inflation following rising regional tensions.

The Egyptian officials reviewed measures aimed at shielding the domestic economy from external shocks, including securing supplies of fuel, food, and other essential goods. The meeting included Central Bank of Egypt Governor Hassan Abdalla, Finance Minister Ahmed Kouchouk, and Petroleum Minister Karim Badawy.

Madbouly said Egypt was continuing to coordinate with regional and international partners, under the direction of President Abdel Fattah El-Sisi, to support efforts to restore regional stability and advance diplomatic solutions.

The government also reviewed proposals to strengthen Egypt’s price-monitoring and market-control systems as officials seek to contain inflationary pressures and curb monopolistic practices.

Deputy Prime Minister for Economic Affairs Hussein Eissa presented recommendations that included improving market transparency, expanding contract farming for strategic crops, strengthening supply chains, and increasing private-sector involvement.

Petroleum Minister Karim Badawy separately reviewed trends in global crude oil, petroleum product, and liquefied natural gas prices, as well as Egypt’s domestic fuel consumption patterns, according to the statement.

The government said it was continuing efforts to secure petroleum products and essential commodities amid escalating regional tensions.

Attribution: Amwal Al Ghad English