Finance Minister Ahmed Kouchouk said international investors had responded positively to Egypt’s economic reforms, lowering their assessment of investment risks in the country to its lowest level since 2014. He stressed that the government would continue its programme of tax and customs relief, introducing new packages to strengthen confidence and partnerships with investors. He added that the government was adopting numerous initiatives to support the business community, expand the country’s production, export and industrial bases, and create more jobs.
Kouchouk said the Egyptian economy was improving and growing and was capable of responding flexibly to regional and international shocks and crises.
He made the remarks during an open dialogue with investors across three consecutive sessions organised by HSBC, Standard Chartered and Goldman Sachs on the sidelines of the International Monetary Fund (IMF) and World Bank Group meetings in Bangkok. He noted that the stable outlook assigned to the Egyptian economy by credit rating agencies reflected the success of the structural and economic reforms implemented.
The minister added that balanced fiscal policies had helped encourage domestic and international capital to invest in Egypt. The private sector is leading economic activity, accounting for 65% of investments and driving economic growth to 5.1%.
Kouchouk explained that Egypt had achieved a primary surplus equivalent to 4.9% of gross domestic product (GDP), while the overall budget deficit fell to 5.8% in the previous fiscal year. He also said the government aims to reduce the debt-to-GDP ratio to around 70% within three years, extend the average maturity of public debt and lower debt-servicing costs.