Egypt’s budget deficit records LE 187.3B in H1 of 2017/18

CAIRO – 12 February 2018: Egypt’s budget deficit increased 7 percent in the first half of fiscal year 2017/2018, to record LE 187.3 billion, compared to LE 174.6 billion in the same period of 2016/2017, a recent report of the Ministry of Finance showed.

The report added that the figure represents 4.2 percent of the gross domestic product (GDP,) compared to 5 percent in the previous year.

The revenues increased 38 percent during the first six months of this fiscal year to LE 302.5 billion, compared to LE 219.8 in the same period of the previous year.

Total expenses also rose 25 percent to LE 487.7 billion compared to LE 389.6 billion in the same period of the previous year.

Budget deficit for first quarter (Q1) of fiscal year (FY) 2017/18 decreased by 2 percent of GDP, to register LE 85.3 billion.

For the current fiscal year, the budget deficit is estimated to record LE 370 billion, planned by the ministry to be financed through treasury bills and bonds and through international and Arab loans.

In October 2017, The World Bank expected Egypt’s budget deficit to decline to 8.8 percent of the gross domestic product (GDP) in fiscal year (FY) 2017/18, the international financial institution said.

Egypt’s fiscal year begins in July and ends in June.