Egypt achieved the highest recorded primary surplus, reaching approximately EGP 330 billion during the period from July 2024 to February 2025, according to a statement by Minister of Finance, Ahmed Kouchouk.

 During his meeting with Prime Minister, Mostafa Madbouly, he added that Egypt’s tax revenues increased by 38.4% year-on-year, marking the highest annual growth rate in recent years.

Kouchouk further reported that spending on the health and education sectors increased by 29% and 24%, respectively, compared to the same period in the previous fiscal year.

 Additionally, spending on subsidies, grants, and social benefits surged by 44% between July 2024 and February 2025.

The Minister also highlighted improvements in debt management during this period, achieved by distributing interest payment burdens throughout the fiscal year.

 Furthermore, the growth rate of treasury-funded investments slowed, in line with the government's approach to prioritizing spending and reviewing public investment plans while adhering to the current fiscal year’s investment expenditure ceiling.

Minister Kouchouk also presented the main priorities and pillars of FY2025/2026.

He stated that the primary focus is to stimulate economic growth and employment, particularly by boosting confidence in the Egyptian economy, supporting productive sectors, and strengthening the tourism and technology industries.

 The budget also aims to maintain financial and economic stability by adhering to fiscal targets, reducing debt and its associated burdens, securing energy resources, and fulfilling sectoral commitments.

 Additionally, the government will continue increasing allocations for social protection, human development, and programs that support vulnerable groups.

As part of this presentation, the Minister highlighted key financial targets for the new budget, including sustaining a primary surplus, increasing tax revenues, and expanding spending on the Takaful and Karama program, as well as the health sector and other social protection initiatives.

During the meeting, Minister Kouchouk provided an update on the implementation of the International Monetary Fund (IMF) reform program, including the approval of the fourth tranche disbursement and preparations for the fifth review. He also presented a proposal to reduce the debt of budgetary institutions.