FILE: Prime Minister Moustafa Madbouli and Housing Minister Moustafa Madbouli
CAIRO – 26 June 2019: Egypt's Prime Minister Mostafa Madbouli highlighted that Egypt is on track to achieve a surplus of 2 percent of gross domestic product (GDP) in 2018/2019 for the first time in 15 years, compared to a deficit of 5 percent of GDP in 2012/2013.
Madbouli said during his speech at the Arab-German Business Forum that foreign reserves have recovered to exceed pre-2011 levels, reaching a record level of $ 44.3 billion by the end of May 2019,compared to $ 14.9 billion in June 2013, which allowed Egypt to have a temporary fund that could finance Egypt's import bill for more than 8.5 months.
The prime minister pointed out that the government aims to reduce the public debt to 80 percent of GDP in 2020, compared to 107.8 percent in fiscal year 2016/2017.
Madbouli noted that the net inflows of foreign direct investment (FDI) rose to $7.72 billion in the fiscal year 2017/2018, compared to $4.18 billion in fiscal year 2013/2014, adding that according to the latest summary of the African Development Bank on the results of the performance of countries, Egypt has regained its position as the first destination in Africa for FDI.
The unemployment rate fell to about 8 percent in March 2019, compared to 12.7 percent in 2011/2013, which contributed to the provision of more job opportunities for young people and segments of the Egyptian people, he said, referring that the unemployment rate is the most important criterion that tells whether the current growth rates benefit the wider segments of the population or not.
The prime minister stated that the objectives of the economic reform program launched in 2016 have borne fruit, referring to Egypt’s growth rate of 5.6 percent in 2018/2019, which makes Egypt one of the strongest and highest growth rates in the region among emerging economies, aiming to achieve a growth rate of 6 percent next year.
He expressed his happiness with the participation of Egypt as a guest of honor for the session of the Arab-German Business Forum.
He pointed out that Egypt's participation as a guest of honor of the forum this year reflects the appreciation and confidence of the Arab and German sides for Egypt's success in the past years.
Madbouli stressed that Egypt considers Germany as one of its major partners in economic development efforts not only in Europe but globally.