Construction costs in Egypt have soared since Cairo took the decision to float its currency, the pound, according to a press report.

Prices of some steel and cement products have doubled, experts told Zawya Projects, as the value of the Egyptian pound fell sharply against the US dollar.

Rising prices could see real estate prices rise, threaten projects, and even force contractors out of the market, the news service said.

“Prices of some steel and cement products have jumped by nearly 100 per cent. This will negatively affect projects and put pressure on some contracting firms, who could be forced out,” Ahmed Al-Zaini, Chairman of the Building Materials Division, Federation of Egyptian Chambers of Commerce, told Zawya Projects.

Daker Abdellah, Board Member of the Egyptian Federation for Construction and Building Contractors, said Egypt’s increase in fuel prices and implementation of VAT would also negatively affect projects.