CAIRO – 13 March 2024: Egypt aims to achieve a primary surplus of 3.5 percent in its GDP for the fiscal year (FY)2024/2025, according to a statement by the Minister of Finance, Mohamed Maait.
The minister revealed that Egypt's general revenues, amounting to approximately LE 2.5 trillion, primarily came from non-tax sources. Meanwhile, total expenditures reached around LE 3.8 trillion, with a growth rate of 23 percent.
These discussions took place during an open dialogue on the upcoming budget for FY2024/2025, which is set to commence on July 1st.
Representatives from various organizations, including the Federation of Egyptian Industries, the Egyptian Business Association, the Egyptian African Businessmen’s Association, and the Federation of Egyptian Chambers of Commerce, participated in the dialogue.
Maait emphasized that the primary surplus, along with 50 percent of the proceeds from the IPO program, will be dedicated to reducing and servicing the national debt.
The objective is to decrease the debt-to-GDP ratio to below 80 percent within the next three years. Importantly, the minister assured that no additional tax burdens would be imposed on investors during the FY2024/2025.
Furthermore, the new budget aims to increase investments in the healthcare and education sectors while implementing cost-effective measures in other areas, as outlined by Maait.
He also highlighted the expansion of social protection programs for citizens without generating inflationary pressures.
In addition, Maait emphasized that public investments for all state entities, without exceptions, will not exceed LE 1 trillion in the FY 2024/2025.
Within the same fiscal year, the government plans to establish a limit for the budget debt of authorities and economic entities. This limit can only be exceeded with the approval of the president, the cabinet, and the House of Representatives.
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