Egypt's Gov. Moves Forward with Executing IMF-backed Reform Program

Egypt's Finance Minister Mohamed Maait said the government moves forward with implementing the IMF-backed economic reform program, noting that it has introduced a new package of financial, monetary, and structural measures to deal with the concerns related to the spike in external financing needs of Egypt's economy.

In a statement, Maait affirmed the government's keenness on carrying out the structural reforms it announced in December 2022, with regard to the Initial Public Offering (IPO) program and attracting further foreign direct investments, while completing the fiscal consolidation policy.

Egypt's economy would achieve an average annual growth rate of 4% in the next three years, driven by the recovery of the construction and energy sectors, in addition to other sectors such as information and communication technologies, wholesale and retail trade, manufacturing industries, agriculture, and health, the Minister said, citing a report released by S&P Global Ratings.

According to the finance minister, the S&P report shows the strong growth in government revenues, as a result of expanding the tax base and the efforts to rationalize expenditures.

He also noted that the S&P report projects that the current account deficit in nominal terms would decline during the coming period until 2026.