Egypt’s Sisi calls for first bread price rise in decades

By Omar Fahmy

CAIRO (Reuters) – Egyptian President Abdel Fattah al-Sisi said it was time to increase the price of the country’s subsidized bread, revisiting the issue for the first time since 1977 when then president Anwar Sadat reversed a price rise in the face of riots.

Sisi on Tuesday did not specify the amount of any potential increase, but any change to the food support system in the world’s largest wheat importer would be highly sensitive. Bread was the first word in the signature slogan chanted in the 2011 uprising that unseated former president Hosni Mubarak.

Bread is currently sold at 0.05 Egyptian pounds ($0.0032) per loaf to more than 60 million Egyptians, who are allocated five loaves a day under a sprawling subsidy program that also includes the likes of pasta and rice, and costs billions of dollars.

“It is time for the 5 piaster loaf to increase in price,” Sisi said at the opening of a food production plant. “Some might tell me leave this to the prime minister, to the supply minister to (raise the price); but no, I will do it in front of my country and my people.

“It’s incredible to sell 20 loaves for the price of a cigarette.”

Previous attempted changes to the subsidy program, which caused deadly bread riots in 1977, were agreed as part of former President Anwar Sadat’s loan deal with the International Monetary Fund (IMF).

Sisi’s government has also turned to the IMF, which granted a $12 billion loan in 2016 and a one-year $5.2 billion loan last year, but specified that food subsidies should only reach those most in need.

The loan program also required higher fuel and electricity prices.

“I’m not saying we make it significantly more expensive, to as high as it costs to make it, 65 or 60 piastres, but (increasing the price) is necessary,” Sisi said.

“Nothing stays stagnant like this for 20 or 30 years, with people saying that this number can’t be touched.”

SUBSIDY PROGRAMME

The Egyptian supply ministry will immediately begin studying raising the bread price and will present its findings to the cabinet as soon as possible following Sisi’s remarks, minister Ali Moselhy told local newspaper El-Watan.

Sisi has sought to rein in Egypt’s massive subsidy program by targeting those deemed to be sufficiently wealthy while leaving bread prices untouched.

Hussein Abu Saddam, head of the farmer’s syndicate, told Reuters: “The decision is right and comes at a very suitable time. It helps us finish with the old practices and customs, in which the president was always afraid of touching bread prices, fearing the outcry of the poor.”

A hashtag which translates as “except the loaf of bread” trended on Twitter in Egypt by Tuesday afternoon with more than 4,000 tweets.

Last year the country shrank the size of its subsidized loaf of bread by 20 grams, allowing bakers to make more fixed-price loaves from the standard 100kg sack of flour.

“I hope that this is not poorly received, as if we are planning to make a big jump in prices … we are only talking about achieving balance,” Sisi added.

In its 2021/22 budget, Egypt allocated 87.8 billion Egyptian pounds ($5.6 billion) to subsidize supply commodities and support farmers.

Of that amount, 44.8 billion pounds are allocated towards the bread subsidy.

The government set a wheat price assumption of $255.00 per tonne in fiscal year 2021/2022, from $193.90 a tonne the previous year, according to the budget. Egypt last bought wheat on Monday for $293.74 a tonne c&f.

Wheat prices globally have rallied over supply concerns during the coronavirus pandemic.

($1 = 15.7100 Egyptian pounds)

(Reporting by Omar Fahmy; Additional reporting by Malaika Tapper; Writing by Nafisa Eltahir and Nadine Awadalla; Editing by David Goodman and David Holmes)

U.S., Egypt working closely to reinforce Gaza ceasefire, Blinken says

By Aidan Lewis and Nidal al-Mughrabi

CAIRO/GAZA (Reuters) -Egypt and the United States said they would work together to reinforce a ceasefire between Israel and Palestinian militants as U.S. Secretary of State Antony Blinken visited Cairo and Amman on Wednesday on a regional tour.

Egypt has longstanding relations with both sides in the conflict and played a key role in brokering the ceasefire after 11 days of violence, in coordination with the United States.

“We’ve had in Egypt a real and effective partner in dealing with the violence, bringing it to a close, relatively quickly,” Blinken said in Cairo after meeting with President Abdel Fattah al-Sisi, Foreign Minister Sameh Shoukry and intelligence chief Abbas Kamel.

The United States and Egypt were now “working closely together build something positive,” he said. Egypt, Blinken said, is vital to shared aspirations for Palestinians and Israelis to “live in safety and security to enjoy equal measures of freedom, opportunity and dignity.”

Egyptian mediation in the conflict has raised questions whether Cairo might now feel under less U.S. pressure over its crackdown on political dissent that has steadily intensified in recent years.

Asked about the matter at a press conference later in the Jordanian capital Amman, Blinken said he had a “lengthy discussion” with Sisi on Cairo’s human rights record and the issue of detained American citizens.

“I think the fact that we had a lengthy exchange on that with President Sisi is a reflection of the fact that it remains very much on the agenda with Egypt,” Blinken said.

Sisi, who ousted the Muslim Brotherhood from power in 2013, has said there are no political prisoners in Egypt and that stability and security are paramount.

Blinken said he also discussed with Sisi Egypt’s water needs and the importance of finding a diplomatic solution to the giant Grand Ethiopian Renaissance Dam. Egypt regards the dam as a potentially existential threat as the largely arid country relies on the Nile for as much as 90% of its fresh water.

GAZA AID

Blinken arrived in Egypt after stops in Jerusalem and Ramallah on Tuesday, when he pledged that the United States would provide new aid to help rebuild the Gaza Strip, including $5.5 million in disaster relief and nearly $33 million for the U.N. Palestinian aid agency there, after hundreds of devastating Israeli air strikes.

Speaking in Amman, he said Washington intended to ensure that the Palestinian Islamist group Hamas, which rules Gaza and is listed by Washington as a terrorist organization, did not benefit from humanitarian aid.

“In the coming days I’ll be consulting broadly with Gulf countries and other partners to ensure we all contribute to recovery, stability and the reduction of tensions,” he said.

Yehya Al-Sinwar, the Hamas chief in Gaza, said the group welcomed Arab and international efforts to rebuild the enclave.

“We will ease and facilitate the task for everyone and we will make sure that the process will be transparent and fair and we will make sure that no penny goes to Hamas or Qassam (the Hamas armed wing),” Sinwar told a news conference.

“We have satisfactory sources of money for Hamas and Qassam. A major part of it from Iran and part in donations from Arabs, Muslims and liberals of the world who are sympathetic to our people and their rights,” he added.

Egypt, which shares a border with Gaza and has security contacts with Hamas, is likely to have a role in channeling aid, a senior U.S. State Department official said earlier.

During the fighting, Egypt opened the Rafah border crossing between Gaza and its Sinai Peninsula in order to provide medical aid and evacuate the wounded.

It also sent a security delegation to Israel and Gaza to help bolster the ceasefire after it took effect on Friday.

(Additional reporting by Nidal al-Mughrabi in Gaza, Humeyra Pamuk, Daphne Psaledakis and Matt Spetalnick in Washington Editing by Mark Heinrich)

Egypt’s Sisi says response will be felt if water supply affected by dam

CAIRO (Reuters) – Egypt’s President Abdel Fattah al-Sisi said on Tuesday that there would be severe regional consequences if Egypt’s water supply was impacted by a giant hydropower dam being built by Ethiopia.

“I’m not threatening anyone here, our dialogue is always reasonable and rational,” Sisi said in a response to a question about any risk to Egypt.

“I say once again no one can take a drop from Egypt’s water and if it happens there will be inconceivable instability in the region.”

(Reporting by Nadine Awadalla and Mahmoud Mourad; Editing by Aidan Lewis and Alison Williams)

Egypt says it does not want war as tension grows with Sudan

Egyptian President Abdel Fattah Al Sisi gives a televised statement on the attack in North Sinai, in Cairo, Egypt November 24, 2017 in this still taken from video.

CAIRO (Reuters) – President Abdel Fattah al-Sisi said on Monday Egypt is not conspiring against its neighbors and has no intention to fight, a reference to growing tension with Sudan.

Relations have deteriorated in recent weeks, including over a Sudan-Turkey naval agreement that angered Cairo and an ongoing dispute over a dam Ethiopia is building on the Nile river that runs through all three countries.

In the latest move, Sudan recalled its ambassador to Egypt without saying when he might be back.

“Let’s always look for peace and development, our people need that. They don’t need us arguing and entering conflict,” Sisi said at an inauguration of new projects in the province of Monofeya.

He said Egypt would not interfere in other countries’ affairs. Khartoum has in the past accused Cairo of political meddling while Egypt has accused Sudan of harboring Egyptian Islamists.

“Egypt will not fight its brothers … I’m saying this as a message to our brothers in Sudan,” Sisi said.

Khartoum and Ankara agreed last month that Turkey would rebuild a ruined Ottoman port city on Sudan’s Red Sea coast and construct a dock to maintain civilian and military vessels.

Egyptian officials reacted with suspicion about what they see as Turkey’s plans to expand its influence in the region.

Separately, Ethiopia is building a hydroelectric dam on the Nile which Cairo fears will restrict the waters flowing down from Ethiopia’s highlands and through Sudan to Egypt.

Ethiopia, which wants to become Africa’s biggest power exporter, says it will have no such impact.

Egypt believes Sudan is leaning toward the Ethiopian position in the dispute.

The Ethiopian foreign minister, who held talks with his Sudanese counterpart on Sunday, is expected to visit Cairo later this week for negotiations after multiple delays.

(Reporting by Mohamed El Sherif; Writing by Arwa Gaballa; Editing by Peter Graff)

Gunman kills seven outside Coptic church in Cairo suburb: ministry

People look at the Mar Mina Church after a blast, in Helwan district on the outskirts of Cairo, Egypt December 29, 2017.

CAIRO (Reuters) – A gunman opened fire on worshipers and Egyptian security forces stationed outside a Coptic church in a Cairo suburb on Friday and killed at least seven people before he was wounded and arrested, the Interior Ministry said.

Earlier reports by security sources and state media said at least two attackers were involved, and that one was shot dead and another fled the scene. The Interior Ministry did not explain the reason for the different accounts.

It said the attacker had first fired at a shop 4 km (3 miles) away, killing two people, before proceeding to the Mar Mina church in the southern suburb of Helwan, where he opened fire and tried to throw an explosive device.

There was no immediate claim of responsibility for the attack. Islamist militants have claimed several attacks on Egypt’s large Christian minority in recent years, including two bombings on Palm Sunday in April and a blast at Cairo’s largest Coptic cathedral in December 2016 that killed 28 people.

Nine were killed in total, including one policeman at the church, the ministry said. Several security sources and local media earlier reported three policemen had been killed.

People stand behind police tape cordon at the site of attack on a church in the Helwan district south of Cairo, Egypt December 29, 2017.

People stand behind police tape cordon at the site of attack on a church in the Helwan district south of Cairo, Egypt December 29, 2017. REUTERS/Amr Abdallah Dalsh

The ministry said forces had “immediately dealt with the (attacker) and arrested him after he was wounded.” It added,

“Legal measures have been taken,” without elaborating.

The general prosecutor said in a statement that an investigation has been launched into the incident.

“The shooting began at 10:30 a.m. and carried on for more than 15 minutes … there was more than one attacker,” Mohammed Hussein Abdelhadi, who lives close to the church, told Reuters.

A witness who did not want to give his name said a policeman was killed while he was closing the church gate to stop the gunman getting in.

The church was being guarded by police in the run-up to Orthodox Christmas celebrations next week.

The Health Ministry said in an earlier statement that nine people had been killed on Friday in addition to the gunman, and five wounded, including two women in serious condition.

People are seen outside the Mar Mina Church after a blast, in Helwan district on the outskirts of Cairo, Egypt after a blast December 29, 2017.

People are seen outside the Mar Mina Church after a blast, in Helwan district on the outskirts of Cairo, Egypt after a blast December 29, 2017. REUTERS/Amr Abdallah Dalsh

Police have stepped up security measures around churches ahead of Coptic Christmas celebrations on Jan. 7, deploying officers outside Christian places of worship and setting up metal detectors at some of the bigger churches.

President Abdel Fattah al-Sisi offered his condolences to the families and ordered security forces to increase safety measures at sensitive sites, his office said in a statement.

(Reporting by Ahmed Mohamed Hassan and Amr Abdallah; writing by John Davison; editing by Mark Heinrich)

Egypt’s Sisi pardons 203 young protesters: state news agency

Egyptian President Abdel Fattah al-Sisi (C) meets with his prime Minister Sherif Ismail (4th L) with other ministers and senior State officials at the Ittihadiya presidential palace in Cairo, Egypt March 13, 2017 in this handout picture courtesy of the Egyptian Presidency.

CAIRO (Reuters) – Egyptian President Abdel Fattah al-Sisi issued a pardon for 203 youths jailed for taking part in demonstrations, state news agency MENA said on Monday, as part of a pledge he made months ago to amend a protest law.

No official list of names was immediately available.

Sisi promised in October to amend a law on assembly and protests, which rights groups say is severely restrictive and critics condemn as unconstitutional. He also hinted at possible pardons for youths who had demonstrated against his rule.

Sisi does not have the authority to interfere in Egypt’s judicial processes but can issue pardons.

In November, he pardoned 82 prisoners, mostly university students.

Since seizing power in mid-2013 from the Muslim Brotherhood, Sisi has presided over a crackdown on his Islamist opponents that has seen hundreds killed and many thousands jailed.

But the dragnet has since widened to include secular and liberal activists at the forefront of the 2011 uprising that ended Hosni Mubarak’s 30 years in power.

A law requiring permission from the Interior Ministry for any public gathering of more than 10 people is strictly enforced and has largely succeeded in ending the kind of mass demonstrations that helped unseat two presidents in three years.

Egypt’s Supreme Constitutional Court upheld the law in December but said that an article granting the Interior Ministry authority to deny protest requests was unconstitutional.

The law imposes jail sentences on those who violate a broad list of protest restrictions, and allows security forces to disperse illegal demonstrations with water cannon, tear gas, and birdshot. The court’s ruling kept all of these elements of the law intact and there is no further appeal.

(Reporting by Ahmed Aboulenein; Editing by Louise Ireland)