World Bank planned Egypt’s GDP to grow by 5.6 percent in 2019, mainly driven by private consumption, continued recovery in the tourism sector and newly discovered natural gas fields.
World Bank warned that constant rise in prices on regulated goods and services would negatively affect Egyptian households in the short term, particularly those with priority care, under implying that the poor and those living in rural areas in Upper Egypt may suffer more than others, in the short term. For households and individuals exposed to poverty, it is necessary, according to the World Bank, to implement adequate measures to mitigate the effects.
In 2015, Egypt signed a loan agreement with World Bank to support economic policies aimed at curbing the budget deficit. Most prominent one among these policies concerned the further liberalization of fuel and energy prices, which contributed to inflationary pressures. World Bank warns about the expansion of Egypt’s intervention in economic activity. Despite Government's announcement of a program to sell minority shares in selected state-owned companies, the Country’s activity is expanding in several areas such as the construction sector.
Source: (Asharq Al-Awsat Newspaper, Edited)
