Growth rate
The report expected an increase in GDP growth rates in Egypt during 2022 to reach 5.2 percent, and then 5.8 percent in 2026.
The country seeks to contain the rate of inflation to settle at 6 percent, unemployment at 7.3 percent and poverty at 28.5 percent, she said.
The report highlighted a positive projections for the Egyptian economy till the Fiscal Year 2023/2024 after overcoming the impact of the first year of the coronavirus pandemic along with a positive growth due to a rise in exports and revenues of commodities and services.
“For the fiscal year 20/21, we still expect a growth of 2.8 percent, and we see that the recovery has begun with expectations of a stronger revival in the next fiscal year, reaching growth to 5.2 percent."
According to EBRD's report, it predicted that growth would decline during the fiscal year 2020/2021 to reach 2.5 percent, with expectations that it would rise during the new fiscal year 2021/2022 to reach 4.5 percent.
"The Middle East region has lost 5 percent of its growth rates due to the pandemic, amid expectations that it will reach 1 percent and increase to 3 percent within two years, which are positive rates, but not high rates," Mohieldin stated.
El-Said clarified that the average growth rate during the first nine months of the fiscal year hit about 1.9 percent, compared to about 5.4 percent in the nine months of 2019/2020.
Minister of Finance clarified that this comes as a result of the expansion of development investments that reflect the success of the state, in achieving a balance between preserving the health of citizens and turning the wheel of the national economy.
Egypt is considered the third best country in terms of growth rates during the last fiscal year despite the Corona pandemic, which affected the global economic slowdown, indicating that the growth rate reached 3.6 percent, and 5.6 percent was targeted.
El-Said added in a statement, Thursday, that the volume of investments that the state has pumped into the telecommunications sector has deepened its weight, with a growth of 3.5 percent.
The average growth rate of the Egyptian economy during the first half of the current fiscal year amounted to about 1.35 percent from July to December last year.
It also anticipated the Egyptian economy to hit a growth rate of 5.8 percent in 2022/2023, which matches the International Monetary Fund (IMF).
Ma’it clarified that this came as a result of the fruitful economic reforms that the government undertook with strong political will, and the support of the Egyptian people.
At the same time, it expected that the Egyptian economy would achieve growth rates of 5.6 percent over the medium term by 2025.
The IMF issued a report on Tuesday on the files related to Egypt's obtaining of an emergency financial assistance of dlrs 2.77 billion to meet the urgent balance of payments needs stemming from the outbreak of the COVID-19 pandemic.
The debt-to-GDP ratio was estimated at 108 percent on June 30, 2017, Maait said.
The growth rate in Egypt is the highest in most emerging countries, which reflects the success of the Egyptian government in dealing with the repercussions of the coronavirus pandemic in a balanced and sound manner.
IMF clarified that this percentage came as the global recovery is now expected to be more gradual and domestic activity is projected to remain weak for longer.
EBRD forecasted in a report Wednesday that Egypt’s growth will rebound to 5.2 percent in 2021.
Egypt’s budget for fiscal year 2020/2021 will be affected by COVID-19 pandemic especially with regard to revenues and growth rates, as well as an increase in the item of expenses.
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