Egypt’s Minister of Finance Mohamed Maeet said on Friday that the state has managed to rebuild its potentials in recent years, noting that the most populous Arab country “can and will” recover economically.
The government is aware of the consequences of successive global crises, Maeet told a forum held by Nile University yesterday, pointing out that regional and international geopolitical tensions have complicated the crisis.
The minister has reiterated the state’s flexibility in tackling the economic crisis, citing adequate policies and measures taken for containing the repercussions as much as possible.
Maeet told the gathering that the government has maximized production capabilities, pointing out to a decrease inimports and rising exports. “We are now working on a package of fresh tax and customs incentives to lure investors to the financial and business district of the New Administrative Capital,” he said.
Maeet said the state’s public finances were resilient in the face of global economic challenges, citing better financial performance during the past seven months (July-January).
Primary surplus rises to LE173b
“We achieved a primary surplus worth LE173 billion, compared to LE33 billion on the same period of in fiscal year 2022/23,” he said.
Egypt’s fiscal year begins on July 1.
According to him, the budget deficit hit 5.8 per centdue to an increase in interest rates, and tax revenues rose by 42-44 per cent thanks to digitization, mechanization and integration of the country’s informal economy.
“Investment spending declined by 10 per cent (on the July-January period), compared to the same period of fiscal year 2022/23 due to the state’s keenness to redirect spending to priority sectors to reduce the burdens on citizens,” he said.
Social protection
The minister said the state launched a number of exceptional packages for social protection totaling LE630 billion since the Covid-19 pandemic.
According to him, the state has launched a new social package worth LE180 billion annually, totalingLE240 billion until June 2025.
