Egypt’s Finance Ministry has agreed to pay a state-owned sugar company LE 1 billion to cover the cost of sugar subsidies in the year to June 30, the state news agency said on Tuesday.
Half of the amount was paid earlier this month to Egyptian Sugar and Integrated Industries.
The agency quoted Finance Minister Youssef Boutros-Ghali as saying the cost of various state subsidies, grants and social benefits had soared to an expected LE 95.2 billion this financial year from LE 58.4 billion in 2006-07.
Earlier on Tuesday, Egypt’s oil minister said the fuel subsidies bill in Egypt is expected to rise to LE 72 billion in fiscal 2010/11 from 68 billion this year.
