Solidarity Ministry to pay LE1.1bn under Takaful, Karama

CAIRO – 13 June 2018: Minister of Social Solidarity, Ghada Waly, announced on Tuesday releasing LE 1.1 billion under the Takaful and Karama (Solidarity and Dignity) program starting from Wednesday instead of Friday, on the occasion of Eid al-Fitr.

These sums will be distributed through 3,800 post offices nationwide. The number of families benefiting from this program in June amounted to 2.25 million families, approximately 10 million individuals.

The program includes 5,630 villages in all the governorates of the country, while about 72% of the program budget is directed to the governorates of Qena, Assiut, Sohag, Beni Suef and Minya.

Takaful and Karama is a cash transfer programs that comes as part of a social protection net implemented by the government to protect the poor from the negative effects of Egypt’s reform program.

In preparation for further electricity and fuel price increases, the government is working on plans to reinforce the country’s social security net with a EGP 15 billion package starting in the new fiscal year in July.

The aim of the move is to soften the effects of the austerity measures on those with limited incomes.

In 2015, Egypt launched the Takaful and Karama program to provide direct financial support to the neediest people in different villages. The budget allocation of the project was LE 4 billion in 2016.

Takafol and Karama program was funded by more than LE 10 million from the state’s budget in the fiscal year 2017/2018.