Impacts of the Cairo Metro

The Cairo Metro the first in Africa and the Middle East is a two-line system, heavily-used. Data from the operator and a direct passenger survey are used to illustrate patterns of use and draw policy implications for other systems. While current revenue exceeds operating costs, cross-subsidies may exist between different passenger groups as a result of highly-discounted student season tickets. A fare increase in 1996 is used to estimate short-run elasticity of demand with respect to price, approximately 0.2, a similar figure to other metro systems. Substantial use is made of motorised feeder modes, notably shared taxis (paratransit minibuses). The high level of use occurs despite a substantial premium over other public transport fares, and lack of integrated ticketing. A likely explanation is that the fares are reasonable compared with incomes, and that the price differential is offset for many users by the time savings vis a vis congested traffic conditions.Institute of Transport and Logistics Studies. Faculty of Economics and Business. The University of Sydne