Fuel card system second phase underway - Finance Ministry

Egypt's Finance Ministry has said that the second phase of introducing a new smart card system for subsidised fuel is already underway.

Finance Minister Ahmed Galal has approved collaboration between his ministry, the Ministry of Interior, and E-finance Company to operate the smart cards system, which aims to curb smuggling of subsidised fuel and pave the way to rationalising state subsidies for petroleum products. Galal told reporters that the new system would regulate distribution and greatly save the state subsidy bill, which has trebled in the past eight years.

One third of fuel subsidies, Galal claimed, was going to ineligible consumers. Distribution has begun for diesel and gasoline powered vehicles, according to the Ministry, while cards will be issued shortly to vehicles such as three-wheeled tuktuks and agricultural vehicles.