Debt
Egypt’s total external debt saw a significant decline, dropping by $7.7 billion in the second quarter of 2024 to $152.9 billion in June, compared to $160.6 billion in March.
Looking ahead, the government targets a further reduction to 88.2 percent of GDP by the end of FY2024/2025
Egypt repaid a substantial portion of its domestic and external public debt, amounting to $25 billion since March 2024
The Ministry of Finance will adopt a “targeted strategy” to reduce the debt-to-GDP ratio to less than 80% by June 2027.
Egypt’s debt-to-GDP ratio hit 95.6 percent in FY2022/2023, with the GDP recording LE 9.8 trillion ($318,23 billion)
Those were put forward during the public discussions held within the economic axis.
The Ministry of Finance predicts a further positive surge in the primary surplus during FY2023/2024, estimating it to reach 2.5 percent of the GDP
EGP-denominated debt could become “Eurocleared” before the end of 2023, Finance Minister, Mohamed Maait, told local media yesterday
Egypt and Italy have signed exchange letters to extend the agreement of the debt swap program for developemt for a third phase, lasting until December 2024.
Minister Nevine al-Qabaj pointed out that the ministry's intervention is aimed at protecting the children of those women who would be left without care, if their mothers go to jail.
Maait elaborated that Egypt’s budget deficit recorded its highest rate during the period between 1980 to 1985, reaching 13.8 percent, before it started to decline to range from 4.4 percent to 6 percent.
Minister of Transport Kamel al-Wazir stated Monday that the ticket price of trains and metro will be raised by 25 percent by the end of August.
The IDSC added that the next year's budget targets LE 2 trillion in expenditures.
The minister presented some features of Egypt’s policies to face global economic crisis.
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.
The minister noted that the selection was restricted to those who got loans to pay for essentials.
“Over the past eight years, Egypt’s budget balance has significantly improved with the deficit narrowing from nearly 13 percent of GDP at the end of FY2012/13 to 7.4 percent by the start of FY21/22m” he noted.
Egypt targets to reduce the debt rate to GDP in June 2022 to less than 90 percent, and less than 85 percent during the next three years, down from 108 percent in June 2017.
Madbouly added, in a TV interview, that the debt ratio was 108 percent four years ago, then it decreased to 87 percent before the coronavirus crisis, to reach 91 percent currently.
“The value of the debt was LE 44 billion in 2018, including electricity, petroleum, solidarity and other parties. A settlement has been made with all parties, and only taxes remain,” Tawfik added.
