The Egyptian Cabinet approved the draft budget for the next fiscal year 2023-2024, which includes increasing subsidies for food commodities by 20 percent and increasing subsidies for petroleum products by 24 percent. The budget target for fiscal year starting July is 4.1 percent, instead of 5.5 percent previously, while budget estimates indicate an inflation rate of 16 percent. Total revenues are expected to rise 38.4 percent and revenue growth is expected Tax 28 percent.
The Minister of Finance, Dr. Mohamed Maait, pointed out, "The growth rate targeted in the budget for the new fiscal year (2023/2024) came in light of the estimates of the Ministry of Planning and Economic Development, the targets of the Central Bank of Egypt and international price estimates." The finance minister explained that in light of the budget estimates, which include targeted reform measures, the primary surplus is expected to reach 2.5 percent of GDP, the highest primary surplus targeted as part of efforts to reduce government debt as a percentage of GDP.
The budget for the new fiscal year (2023/2024) indicates growth in subsidies, grants, and social benefits by 28.2 percent, compared to 17.1 percent in the budget for the current fiscal year (2022/2023), including subsidizing food commodities with an annual growth rate of about 20 percent and subsidizing petroleum products with a growth rate of 24 percent.
Source (Al-Arabiya.net Website, Edited)
