Egyptian Finance Minister Mohamed Maait revealed that the draft budget for the fiscal year 2022-2023 targets a growth rate of 5.7 percent of GDP, and gradually rises to 6 percent in 2024-2025.
Minister Maait pointed out that "the project aims to achieve a primary surplus of 2 percent at the average level, and reduce the total deficit to 6.1 percent in the 2022-2023 fiscal year, to decline to 5.1 percent in 2024-2025. It also aims to bring the debt-to-GDP ratio to less than 90% in the 2022-2023 fiscal year, and to 82.5 percent by June 2025, and to reduce the debt service ratio in relation to total budget expenditures to less than 30%, compared to a target of 31.5 percent. percent during the fiscal year 2021-2022. In addition to extending the life of the debt to approach 5 years in the medium term instead of 3.4 years currently, through the expansion of the issuance of various medium and long-term government bonds, and targeting new instruments such as sukuk, sustainable development bonds, and green bonds, which contribute to expanding the investor base and attract additional liquidity to the government stock market, in a way that helps reduce the cost of debt.
Source (CNBC Arabic Website, Edited)
