Finance: Major development projects raised the growth rate to 6.6% of GDP

The Minister of Finance, Mohamed Maait, confirmed that the performance of the Egyptian economy during the last fiscal year ending in June 2022 was good, in a way that sends messages of reassurance that motivate the local and foreign business community to invest in Egypt, explaining that we succeeded in achieving an initial surplus of 1.3% and reducing the total deficit to 6.1 % and the debt ratio to 87.3% of GDP by the end of June 2022.

In his meeting with representatives of Japanese companies operating in Egypt, which was organized by the Japanese Businessmen Association in the presence of Oka Hiroshi, the Japanese ambassador in Cairo, the minister said that what we are witnessing of major and unprecedented development projects in various aspects of life contribute to improving the lives of citizens and raising the level of services provided to them, in addition. It raised the growth rate to 6.6% of GDP and provided thousands of job opportunities, despite the global crisis that cast a shadow on the economies of countries, where the repercussions of the “Corona” pandemic and the subsequent disruption in supply and supply chains, and the increase in commodity prices, are intertwined. services, and the high cost of financing, pointing out that we aim to maintain fiscal discipline and enhance spending on health, education, and social protection; To mitigate the effects of the severe global inflationary wave on citizens as much as possible.

The minister indicated that we still have promising and attractive opportunities for local and foreign investments in various fields, including priority sectors through which the state aims to achieve comprehensive and sustainable development, in light of the strong infrastructure that has become more capable of accommodating the expansion of productive activities. The government is keen to make more room for the private sector to play its role in the development process in a way that enhances its contributions to economic activity, and perhaps the “state ownership document” helps empower the private sector so that it is the locomotive of job-rich economic growth.

The Minister affirmed that we are keen to simplify tax and customs procedures to facilitate the local and foreign business community, and encourage it to enhance investments, through the expansion of technological solutions that contribute to strengthening governance, achieving tax justice, reducing customs release time and facilitating international trade movement.

The minister added that we are looking forward to doubling Japanese investments in Egypt. In order to consolidate the partnership between the two friendly countries, and in line with the bilateral cooperation relations that were manifested in the projects of Japanese schools and the Japanese university, the subway, comprehensive health insurance, gas and petroleum projects, and many programs supported by JICA in Egypt, including: renewable energy production projects, and Abu Al-Rish Hospital For children, he pointed out that the volume of Japanese direct investments in Egypt increased by 52% during the last fiscal year, and the volume of bilateral trade during 2021 amounted to about $1.5 billion, an increase of 13% over 2020.

The minister explained that we are studying with the Japanese side the issuance of “green samurai” bonds during the coming period, after we succeeded in launching the first “samurai” bond issuance in the Japanese market, with a value of 60 billion Japanese yen, in a manner that attracted many Japanese investors.

Oka Hiroshi, Ambassador of Japan in Cairo, expressed his appreciation for the Minister of Finance’s support for Japanese business in Egypt on a permanent basis. In a way that contributes to solving many problems and creating a more attractive business environment for investments.

He added that the bilateral economic relations, during the past years, witnessed remarkable progress, and that the meeting of the Minister of Finance with Japanese businessmen enhances confidence in the hearts of investors and removes the obstacles facing them in Egypt, and pushes them to move forward towards expanding their investments, and provides an opportunity for Japanese businessmen to meet with the Egyptian government. And discussing everything related to their work in Egypt, expressing the Japanese Embassy’s thanks in Cairo to the Minister of Finance, and its willingness to arrange more dialogues between Egyptian government officials and Japanese businessmen.

The meeting was attended by Shahat Ghaturi, Head of the Customs Authority, Mokhtar Tawfiq, Head of the Tax Authority, Nisreen Lashin, Head of the Investors Support Unit at the Ministry of Finance, and Doaa Hamdi, Head of the Foreign Relations Unit at the Ministry of Finance.

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