Egypt Independent

New York Times: Absence of demos after raising energy prices indicates people’s understanding



The New York Times

said no demonstrations have been held after the government of President Abdel Fattah al-Sisi raised the prices of gasoline and reduced energy subsidies, which indicates that the people understand the economic condition. 

The paper said that when President Sadat just thought of raising prices of flour, rice and other subsidized commodities in 1977, riots broke out and more than 70 people died.
 
It said the price of fuel was among the lowest in the world, which cannot continue forever in such an economy, damaged by years of political turmoil and approaching collapse more than ever.
 
The paper added that some Egyptian economists have praised the decision while others criticized it as the reduction in energy subsidies has not been coupled with a clear plan to reduce the burden on the poor.
 
It said there is no easy way to fix the subsidies program in a country where half the population lives below the poverty line and relies on government subsidies as the government faces significant risks if it makes mistakes because the Egyptian people have become impatient since the overthrow of President Hosni Mubarak by protests demanding bread, freedom and social justice.
 
It also said that people are not concerned about price increases as much as they doubt the ability of the government to solve economic problems because the government has always been deemed corrupt and inept. 
 
 
Edited translation from Al-Masry Al-Youm