Egypt Achieves EGP 330 Billion Primary Surplus in H1 2024/25…

Egypt reports a primary surplus of EGP 330bn for H1 2024/25, its highest to date, driven by a 38.4% increase in tax revenues. Prime Minister Madbouly and Minister Kouchouk emphasize financial discipline and increased spending in healthcare, education, and social protection. The government plans to focus on economic growth and job creation while adhering to IMF-related reforms.

Egypt has achieved a significant financial milestone, reporting a primary surplus of EGP 330 billion for the first half of the fiscal year 2024/25. This marks the highest primary surplus to date, as announced by Finance Minister Ahmed Kouchouk. The surplus is attributed to a substantial increase of 38.4% in tax revenues over the previous year, which is noted as the highest growth rate in several years.

Prime Minister Mostafa Madbouly held a meeting with Minister Kouchouk at the government headquarters in the New Administrative Capital to assess financial performance indicators for the period from July 2024 to February 2025. During this meeting, the Prime Minister reaffirmed the government’s dedication to maintaining financial discipline while simultaneously increasing expenditure in crucial sectors such as healthcare and education, along with enhanced funding for social protection initiatives.

Minister Kouchouk elaborated on the government’s strategy to enhance debt management, focusing on a more efficient allocation of interest payment obligations and regulating treasury-funded investments. He pointed out a notable increase in spending, including a 29% rise in healthcare and a 24% rise in education expenditures compared to the preceding fiscal year. Additionally, there was a remarkable 44% surge in subsidies, grants, and social benefits.

The meeting also addressed the government’s priorities for the 2025-2026 fiscal year, which include fostering economic growth, generating job opportunities, and supporting vital sectors such as tourism and technology. The administration plans to uphold financial stability by adhering to set fiscal targets, alleviating debt burdens, and enhancing investments in social protection programs.

Furthermore, Minister Kouchouk updated on Egypt’s advancements under the International Monetary Fund (IMF) reform program, highlighting the approval of the fourth tranche and preparations for the fifth review. He also proposed strategies to diminish the budget sector’s debt in the upcoming fiscal year.

In conclusion, Egypt’s financial performance in the first half of the fiscal year 2024/25 is marked by a primary surplus of EGP 330 billion and a notable increase in tax revenues. The government remains committed to financial discipline while enhancing expenditures in healthcare, education, and social programs. Continued progress under the IMF reform program and strategic plans for future fiscal years underscore the nation’s focus on sustainable economic growth and job creation.

Original Source: www.dailynewsegypt.com