Cairo: Egypt has removed 850,000 people from its food subsidy scheme following a nationwide review of ration card beneficiaries, with many discovering their benefits had been suspended when they attempted to collect subsidised bread and food in July.
According to media reports, the Ministry of Supply and Internal Trade said the exercise is intended to update beneficiary records and ensure state support reaches those most in need. While the ministry said about 850,000 people were removed in June, several members of parliament have claimed the actual figure is closer to one million.
The review has sparked criticism from affected families and lawmakers, who argue that the exclusion criteria and beneficiary databases contain errors that have left many eligible households without assistance.
New eligibility rules
Media reports said eligibility is now assessed using economic indicators such as household income, ownership of modern or high-value vehicles, agricultural land exceeding 10 feddans, company ownership, high annual tax payments, residence in gated communities, electricity consumption and enrolment of children in expensive private schools.
Prime Minister Mostafa Madbouly said attending a private school alone does not automatically lead to the cancellation of subsidy benefits, adding that the policy applies only to schools with fees that reflect higher household incomes.
However, The National reported that several affected families dispute the government’s assessment. A mother from Giza said her benefits were withdrawn because her daughter attends a private university, while another Cairo resident said her family’s higher electricity bill was linked to a home-based carpentry workshop started after her husband lost his job.
Appeals and criticism
Lawmakers have also called for greater transparency, urging the government to review cases in which families were removed despite not meeting the published exclusion criteria.
The Ministry of Supply said those who believe they were wrongly excluded can submit appeals through the Egypt Digital platform or local supply offices. However, The National reported that some residents claimed local offices were temporarily refusing to accept complaints.
Shift to cash-based support
The review comes as Egypt prepares to replace its long-standing commodity-based subsidy system with a cash-based model. According to media reports, eligible households will receive financial support through smart cards instead of fixed food allocations, with assistance expected to vary according to each family’s economic circumstances.
The reform forms part of Egypt’s wider economic restructuring programme under its agreement with the International Monetary Fund and is intended to improve the targeting of welfare spending. More than 65 million Egyptians continue to benefit from the country’s subsidised bread and food system.
