Egypt's annual budget approved by the cabinet on Wednesday foresees a 26 percent increase in subsidies of consumer commodities such as basic foodstuffs and fuel.
The government plans to spend 22.4 billion Egyptian pounds (US$3.77 billion) in the 2011-12 fiscal year to make consumer goods more affordable for the population, according to figures given by Finance Minister Samir Radwan.
Separate fuel subsidies for consumers will rise to 99 billion pounds, an increase of 31.3 billion pounds.
The budget implies a deficit representing 10.95 percent of gross domestic product, up from an estimated 8.64 percent in the current financial year that ends this June, according to a budget statement.
