World

Egypt raises transportation fares by 50 percent

Egypt's official state news agency reports that the governor of the Egyptian capital has announced a 50-percent increase in transportation fares, a day after the government increased fees for drinking water and sewage.

MENA quoted Cairo Gov. Atef Abdel-Hamid as saying the increase amounts to half an Egyptian pound for buses and it will go into effect Friday. He said the central transportation agency has suffered huge losses after fuel prices went up twice.

The daily el-Shorouk reported the fare of short-ride buses increased from 1 pound to 1.5 pounds, while longer rides reached 2.5 pounds.

Egypt is taking steps to reform its economy including flotation of the currency and cutting subsides. The measures meet demands by the International Monetary Fund, which secured a $12 billion bailout loan to Egypt.