Egypt aims to reduce budget debt to 84% of GDP during 2022/23

CAIRO - 9 May 2022: The Egyptian government aims to reduce the debt ratio of the budget bodies to 84 percent of the gross domestic product (GDP) during the next fiscal year 2022/2023, compared to expected estimates of about 85 percent by the end of the current fiscal year in June 2022.

 

The financial statement of the budget stressed that controlling debt rates during that critical period the world is going through due to the Russian-Ukrainian crisis is an important matter, and a basic and main requirement to maintain the positive evaluation of international institutions and credit rating institutions for Egypt.

 

According to the statement, the government is working to extend the life of the debt to reach 3.6 years by the end of June 2023 instead of 3.5 years expected by the end of next June and about 1.3 years in June 2013.

 

Egypt’s 2022/2023 draft budget included the government’s targeting of continuing efforts to gradually reduce the growth rates of the budget bodies’ debt as a percentage of GDP to reach less than 75 percent by the end of June 2026.