In a significant move to stabilize its economy, Egypt has announced a one-year freeze on domestic fuel prices following a recent increase. The decision, confirmed by the petroleum ministry, comes after the government raised prices on a wide range of fuel products by 10.5% to 12.9%, marking the second hike this year. This aligns with Egypt’s broader strategy to reduce subsidies and address its budget deficit. Diesel, a widely used fuel in the country, saw a price increase of 2 Egyptian pounds ($0.0421) to 17.50 pounds per litre. The government remains committed to aligning domestic fuel prices with actual costs by December, as part of its agreement with the International Monetary Fund (IMF) under an $8 billion loan. The IMF has urged Egypt to cut subsidies on fuel, electricity, and food while expanding social safety nets. Despite these measures, Egypt’s current account deficit stood at $2.2 billion in the second quarter, with oil product imports rising to $500 million from $400 million a year earlier. The freeze aims to provide economic stability amid global market uncertainties.