Finance Minister Hany Qadry Demian announced on Monday that Egypt's spending on fuel subsidies in the first half of the fiscal year 2014-2015 reached LE44.8 billion, 30.5 percent less than in the same period of the previous year.
The fuel subsidies in the first half of FY2013-2014 amounted to LE64.5 billion, according to Ministry of Finance figures.
Egypt has already embarked on an aggressive fuel subsidy reform, cutting nearly a fifth of the total fuel subsidy bill. The government had raised energy prices by as much as 78 percent at the beginning of July 2014.
At the same time, the lower oil price has contributed to reducing the cost of fuel subsidies. Crude oil prices have declined by over 50 percent since June 2014.
In February, Moody's rating agency announced that Egypt's spending on fuel subsidies in the current fiscal year could be around 30% lower than budgeted, due to the impact of lower oil prices.
