Egypt, Morocco, Tunisia and Lebanon’s Energy Import Bill Jumps to $4.8 Billion
Key Facts
Monthly spending by Egypt, Morocco, Tunisia and Lebanon on imports of crude oil, petroleum products and natural gas reached a combined $4.8 billion in June 2026, up nearly 66% from the start of the year, according to the International Energy Agency. The jump highlights the rising cost of securing energy for the four countries as shipping disruptions through the Strait of Hormuz recur. The bill had reached $4.6 billion in March, up nearly 60%, in the first full month of the conflict, the agency said. Spending therefore rose again between March and June, while the increase widened compared with its level at the start of the year. Petroleum products accounted for the largest share of the increase over the period, the agency said.
The increase came from different components of the import bill: petroleum products drove most of the jump, while the natural gas bill doubled between January and June. The agency attributed the doubling of the gas bill mainly to Egypt’s imports of liquefied natural gas. Importing countries are therefore facing simultaneous pressure from the cost of oil, petroleum products and gas, although the sources of the increase differ across categories. The agency said higher international fuel and shipping costs quickly fed through to transport, electricity and household energy. This left governments with difficult choices over how much of the cost to pass on to consumers and how much to absorb in public budgets.
Disruption in the Strait of Hormuz is one source of pressure on supplies and their cost: about a quarter of the world’s seaborne oil and a fifth of its natural gas normally pass through the waterway. Shipping through the strait has faced repeated disruptions since the conflict began in February 2026, the agency said. The disruption to shipping raised energy costs and pressured supply security, according to the agency. About 97% of Qatar’s liquefied natural gas exports were also affected by the strait’s closure, it estimated. These developments make importing countries more sensitive to swings in international markets, particularly given their reliance on fuel and gas arriving by sea.
Price pressures are reflected in subsidy and tariff decisions. Egypt raised most household electricity tariffs by an average of 12% in July 2026, while maintaining protections for lower-income consumers, according to the agency. Electricity subsidies in Egypt amount to about $1.9 billion a year, putting the decision to pass through some of the cost increases up against the burden of subsidies on public finances. Across the region, average annual spending on fossil fuel subsidies was about $250 billion over the past decade, while electricity subsidies alone exceeded $80 billion in 2023. The agency said the Middle East and North Africa was the only region in 2023 where producing a unit of gross domestic product required more energy than it did at the start of the century. By contrast, global energy intensity has declined steadily since 2000, according to the comparison cited by the agency.
Countries vary in their ability to cover their needs through domestic production. In Libya, fuel output accounts for no more than about a third of consumption, while spending on imports is close to $1 billion a month, according to the agency. Among exporters, Saudi Arabia, the United Arab Emirates and Iraq have announced projects to expand pipeline capacity as alternative export routes, the agency said. The UAE expects to double transport capacity to Fujairah, a move that would expand its ability to move supplies along an alternative route, according to the agency. For import-dependent economies, the agency called for expanding domestic electricity sources, including renewables. It also recommended strengthening regional electricity and gas interconnections while exporters diversify their routes.
In oil markets, Brent crude rose $1.36 to $106.13 a barrel on November 3, 2026, while West Texas Intermediate gained $1.45 to $97.91, according to Reuters. The report said renewed fears of escalation and supply disruptions supported prices during the session. In political developments, U.S. Vice President Jay Dee Vance said he and President Donald Trump felt positive about the prospects for reaching a negotiated settlement. But thousands of U.S. troops remained in waters off Iran as part of a naval blockade, according to the Associated Press. Shipping routes, supplies and their costs remain central to the energy security concerns cited by the agency about the region.