Egypt approves FY2024/25 budget

During the meeting, Minister of Finance Mohamed Maait stated that the budget includes the "general budget of the state administrative apparatus and all economic entities," with total government expenditures amounting to EGP 6.4 trillion and revenues to EGP 5.05 trillion.

Maait added that the new budget reflects the structural reforms implemented by the recent amendment to the Unified Public Finance Law, which introduced the concept of the "general government budget."

He also said the new general state budget aims to achieve a large primary surplus of more than 3.5 percent of GDP, reduce the overall deficit over the medium term to six percent, and put the debt-to-GDP ratio on a downward path to reach 80 percent in June 2027.

These goals, Maait explained, will be attained through a new strategy that includes setting a legal ceiling for the "general government" debt that cannot be exceeded without the approval of the President of the Republic and the cabinet.

In addition, he highlighted that half of the proceeds from the "offerings" program would be directed to reducing the size of the government's debt directly and extending its life.

Egypt is currently under a loan programme with the IMF, which has been recently extended to $8 billion to address the imbalances in the country’s budget and respond to the repercussions of global and regional tensions.

Maait also pointed out that a ceiling has been set for the total public investments of the state, including all its entities and bodies, so they do not exceed EGP 1 trillion in FY2024/2025.