Egyptian Cabinet's meeting - Photo courtesy: Cabinet official Facebook page
CAIRO – 26 March 2020: Egypt's cabinet approved the sustainable development plan for 2020/2021, that was prepared in light of the negative repercussions of the spread of the Corona virus on the global economy, and its expected effects on the Egyptian economy.
Egypt Today reviews the most important pieces of information included in the plan:
• Egypt's target of growth rate will dip to 5.1 percent from 5.6 percent in 2019/2020.
• The growth rate in Egypt slowed down during the third and fourth quarter to 5.2 percent and 4 percent, respectively.
• Egypt's total government investments rose 12 percent during the period from July 2019 to February 2020, amounting to LE90.9 billion.
• Sectors of food and accommodation, household services, manufacturing, wholesale and retail trade, will be affected by COVID-19 outbreak.
• Egypt's unemployment rate to dip to 8.5 percent by end of 2020/2021 in case COVID-19 crisis ended during FY 2019/2020.
• Egypt targets growth rate of 4.5 percent in 20/21 but might decline to 3.5 percent in case the outbreak of COVID-19 continued.
• As per inflation rate, it’s expected to increase to 9.8 percent if the crisis continued until December 2020.
• With the continuation of COVID-19 till the first half of FY20/21, total investment will dip to LE 740 billion from 960 billion.
• Egypt's governmental investments are planned to hike 33 percent to LE 280 billion from LE 211 billion in 2019/2020.
• Egypt's investments financed by the treasury and loans are planned to increase 64% from LE 140 billion to LE 230 billion.