Revenues from taxes allegedly reached LE 250B during Q1 of current fiscal year

Regional media cited a governmental source earlier today, disclosing that Egypt’s tax revenues grew 18.5 percent year-on-year during the first quarter of the fiscal year 2023/2024, recording LE 250 billion.

Officially, a recent Ministry of Finance release reported it recorded a surge in tax revenues by 27.5 percent, reflecting the ministry’s digitization efforts, improving tax administration, and combating tax evasion and avoidance, explained an official statement from the ministry.

The Egyptian cabinet approved the abolishment of tax exemptions for state entities and affiliated organizations in July 2023. The decision was within the government’s strategy to stimulate private sector participation in the economy.

The Central Bank of Egypt (CBE) revealed that Egypt managed to reverse its $10.5 billion deficit in the Balance of Payment (BoP) for FY2021/2022, achieving a surplus of $882 million in FY2022/2023. The CBE attributed the revival to two key sources – tourism and the Suez Canal.

Egypt recently revealed that it achieved an initial surplus of 1.63 percent of GDP during FY2022/23 compared to 1.3 percent of GDP in FY2021/2022, and has reduced the total budget deficit to 6 percent of GDP compared to 6.1 percent in the FY2021/2022. Egypt is targeting achieving a primary surplus of 2.5 percent of GDP in FY2023/2024.