Investment climate in Egypt improving, says minister
Finance Ministry held talks with over 2,000 global investment institutions
Egypt held talks with over 2,000 global institutions during the current fiscal year to attract foreign investment and strengthen its private sector, said Finance Minister Mohamed Maait.
He said the ministry’s Investor Relations Unit is committed to showcasing Egypt’s lucrative economic prospects and putting the country in a new direction anchored in structural reforms designed to foster growth led by the private sector.
In an official statement, the minister said these efforts have led to an increase in domestic and international investments.
“These improvements have surpassed initial projections and fiscal objectives, despite the severe repercussions of worldwide and regional economic disturbances,” Maait was quoted as saying. Highlighting the role of the ministry’s special unit, the minister said it also disseminates a monthly executive summary of key economic indicators, including debt levels, deficits, and primary surpluses.
The summary, he said, offers foreign investors precise and current insights into Egypt’s economic climate. Additionally, the unit prepares a streamlined guide detailing investor facilitation, advantages, and tax benefits, addressing all conceivable economic issues. It takes into account serious suggestions from international investors and forwards them to the Cabinet for consideration and potential implementation.
Maait noted the global recognition of Egypt’s economic achievements, which have surpassed targeted benchmarks in the past nine months despite the severe impacts of global and regional upheavals. This success is marked by a primary surplus amounting to 3 percent of the gross domestic product. Non-tax revenues have seen a surge of 122.9 percent, the minister said. Talking about the upcoming budget, he said the country plans to increase health sector allocations in the next general budget to 495.6 billion pounds ($10.4 billion).
This reflects an annual growth rate of 24.9 percent compared to the funds allocated for the sector in the current fiscal, he added.
This is in line with the nation’s goal to improve medical services for citizens, which is also an objective of Egypt’s Vision 2030.
Moreover, the minister added that allocations for the education sector will also be raised to 858.3 billion pounds, with an annual growth rate of 45 percent.
Scientific research reserves are also on track to increase to more than 139.5 billion pounds in the next budget, reflecting an annual growth rate of 40.1 percent. Maait noted that the country will continue to provide the necessary funds to expand healthcare initiatives, supply medicines and medical aids to hospitals, and increase support for health insurance programs.
He emphasized how Egypt was also working on targeting the speed of gradual expansion in extending the umbrella of comprehensive health insurance.
Furthermore, the minister said the last social package implemented in March included allocating 15 billion pounds in additional increases for doctors, nurses, teachers, and university faculty members.
The breakdown was divided into 8.1 billion pounds to approve an additional increase in the wages of teachers in pre-university education as well as 1.6 billion pounds to approve a raise for faculty members and their assistants at universities, institutes, and research centers.
Egypt’s economic achievements have surpassed targeted benchmarks in the past nine months. Mohamed Maait
Egyptian finance minister