The total deficit decreased to 3.6% of the local output, instead of 6.1% in the previous fiscal year, the minister of finance indicated.
Egypt achieved a primary surplus during the period from July to May 2024, amounting to EGP 822 billion, at a rate of 5.87% of the gross domestic product (GDP), compared to EGP 116 billion at a rate of 1.15% in the same period of the previous fiscal year, Minister of Finance, Mohamed Maait said.
The total deficit decreased to 3.6% of the local output, instead of 6.1% in the previous fiscal year, the minister of finance indicated.
Maait added that general revenues during the past 11 months, increased to EGP 2.2 trillion, with a growth rate of 73.7%.
He pointed out that tax revenues increased to EGP 1.4 trillion, with a growth rate of 36% as a result of digitization, expanding the tax base, and improving tax administration efficiency.
Additionally, non-tax revenues also increased to EGP 778 billion, a growth rate of 258% due to the Ras El Hekma deal.
The minister pointed out that general expenditures during the period from July to May 2024, increased to EGP 2.7 trillion, with a growth rate of 43.2%.
Minister Maait explained that Egypt provided EGP 226 billion to support the education sector, with a growth rate of 20%.
The state also financed the health sector with EGP 156 billion, an increase of 31.9%, despite the severity of the unprecedented global crises.
The minister said that the actual expenditure on support, grants, and social benefits increased to EGP 467 billion, with a growth rate of 26%, to minimize inflationary burdens as much as possible for the neediest categories.
Actual expenditure on wages also increased to EGP 467 billion, a rate of 27%, as a result of improving the income of state employees in the latest package.
The finance minister added that the subsidy for commodities reached EGP 119 billion.
He pointed to the spending on the Takaful and Karama program which increased to EGP 32 billion, with an annual growth rate of 52%.
He noted that EGP 185 billion of the insurance and pension fund's dues were paid to the state treasury.
The minister explained that the volume of investments funded by the state treasury decreased by 8% during the period from July to May 2024, reaching about EGP 179 billion, to maximize the private sector's role.
Maait referred to the Egyptian government's target of reducing the debt service bill to 30% of general expenditures in the medium term.
The purpose of this strategy is to reduce the debt to reach 80% in June 2027.
