Some basic costs
Accommodation ranges from about £3-6 (US$5-10) a night for a double room in a basic, unclassified hotel to £80-150 (US$130-250) in Egypt's most luxurious establishments. On a limited budget, you can expect to get a decent double room in a one- or two-star hotel for £5-10 (US$8-16). The occasional splurge in a three-star hotel, with a pool, will cost £20-60 (US$36-100) for a double room off season, or £80-100 (US$120-160) at peak periods. To some extent, all these costs are affected by where you are and when . Though low-budget options exist, the cost of hotels is higher in Cairo, Sinai and Hurghada throughout the year; in Alexandria during the summer; and in Luxor and Aswan over winter.

The price of a meal reflects a similar span, but the basic Egyptian staple of fuul and taamiya (beans and felafel) or kushari (noodles, rice and lentils with hot sauce) can be had in a local eatery for about 30p (50¢). Egyptian pizzas, chicken or kebabs cost about £1-2 (US$1.60-3), and European-style meals in restaurants from around £4 (US$6).

Locally manufactured drinks are reasonably cheap - a bottle of Stella beer costing about £1 (US$1.65), native spirits or wines under £4 (US$6) - but imported booze is more expensive than back home in hotels and restaurants, which are generally the only outlets serving alcohol (though you can buy it cheaply in duty-free shops). Everyday items tend to be pricier in Sinai, Hurghada and the desert oases, where goods have to be trucked in from distant centres.

Unless you take domestic flights or rely heavily on private taxis, transport is likewise cheap. You can rent a car for £38/US$60 a day, including petrol (which costs less per litre than mineral water). The cost of buses, trains and collective taxis is generally absurdly low. For instance, the 885km train ride from Cairo to Aswan costs £13/US$20 for 1st class, £7/US$12 for air-conditioned 2nd class, and about £2/US$3 in 3rd class.

Prices and inflation
Most of the prices in this guide are given in local currency. The main exceptions to this rule - airfares, top-flight accommodation and special packages - are reckoned in US$, although most are actually payable in Egyptian pounds backed by an exchange receipt.

Both of these price indications will certainly change, so costs quoted in this guide can't be taken for granted. However, the cost for tourists in real terms shouldn't rise so much compared to local prices, and might even decrease if your own currency is riding high.

Although Egyptian inflation is currently running at around seven percent, it's unevenly distributed. Prices for luxury goods and services (ie most things in the private sector) rise faster than the cost of public transport, petrol and basic foodstuffs, which is held down by subsidies that the government dare not abolish.

 

Money
Egypt's basic unit of currency is the Egyptian pound (called a ginay in Arabic, and written as £E or LE). It is pegged to the US$ at a rate of US$1=£E3.41, while floating against other hard currencies, whose exchange rates fluctuate.

It's easy to distinguish between £E notes since they bear Arabic numerals on one side, Western numerals on the other, and are colour coded: £E1 (brown), £E5 (blue), £E10 (red), £E20 (green), £E50 (red), £E100 (green). The £E50 has been suspect since forgeries came to light, while the £E100 is never used in everyday life.

The Egyptian pound is divided into 100 piastres , called irsh in Arabic (abbreviated by Westerners to pt). There are 10pt, 25pt and 50pt notes, and variously sized coins to the value of 5pt, 10pt, 20pt, 25pt and 50pt; some 25pt coins have a hole in the middle.

Many of the notes in circulation are so ragged that merchants refuse them. Trying to palm off (and avoid receiving) decrepit notes can add spice to minor transactions, or be a real nuisance. Conversely, many vendors won't accept high denomination notes (£E20 upwards) due to a shortage of change . While some offer sweets in lieu of coins, others round prices up. Try to hoard coins for tips, fares and small purchases.

Banks and exchange
Exchange rates at the main Egyptian banks (Bank of Alexandria, Banque Misr, Banque du Caire and National Bank of Egypt) and Forex bureaux (the generic term for private exchanges) vary enough to make a difference to people changing a lot of money at once, or bent on saving every penny - but not enough to worry about otherwise. In most towns there isn't much choice anyway; Forex bureaux are largely confined to Cairo, Alexandria and the Canal Cities. As a rule of thumb, Forex offer the best rates for cash, but may not take travellers' cheques; the transaction is also faster than in banks, where forms are passed among a bevy of clerks and counters.

This extended transaction is less likely at foreign banks (found only in Cairo and Alexandria) or branches in hotels , but there are plenty of exceptions in practice. If you're carrying American Express or Thomas Cook travellers' cheques (or cash) it's often quicker to do business at their own local branches.

Since the Egyptian pound was floated and a crackdown on moneychangers instituted, the black market for hard currency has withered. The fractional difference between the black market and official exchange rates offers zero incentive to deal with (possible) rip-off artists or agents provocateurs. That said, you might find it expedient to change some cash unofficially in the Sinai or the desert oases, where banks are thin on the ground and the risk factor is lower.