Ahmed Kouchouk, Egypt’s Finance Minister, confirmed that the Egyptian economy has started to “breathe and improve,” with the private sector moving strongly and capturing 60% of investments. He explained that the economic and financial position is good and improving, achieving many results better than targeted.

In an open dialogue at the American University in Cairo, moderated by Dr. Rabab Al-Mahdy, Professor of Political Science, he said they expect to complete the fifth and sixth reviews of the economic reform program with the International Monetary Fund soon. He noted that the debt-to-GDP ratio decreased by 10% over two years, while it increased by about 7% of GDP in other emerging countries.

He pointed out that the Ministry of Finance is now repaying more debt than it borrows, and that the external debt of the budget decreased by $3 billion over two years. They are working and aiming to swap part of the debts with investments and to direct any exceptional revenues to debt reduction.

He emphasized that prioritizing the improvement and reduction of debt indicators reflects the harmony of policies and priorities. He noted that they adopt tax policies that support the economy and encourage partnership with the private sector by easing burdens and facilitating investors.

He said the priority is to expand the tax base, protect taxpayers’ rights, and improve services within an integrated framework of “trust partnership.” He pointed out that they work and coordinate with the Minister of Investment to unify fees and service charges and to adjust the solidarity contribution to be fairer.

He added that they seek to stimulate the economy to be more capable of attracting investments and financing citizens’ needs. He explained that allocations to support economic activity have increased fourfold this year, with priority given to manufacturing and exports, especially future-oriented activities and sectors.

He confirmed that canceling preferential tax advantages for state entities when practicing economic activity is an important reform that has achieved good results. He pointed to new initiatives with the Small and Medium Enterprises Development Agency to stimulate entrepreneurship and startups.

He explained that additional incentives will be approved for those joining the simplified and integrated tax system to encourage their growth and to confirm the attractiveness of joining the formal sector.

Kouchouk said he is very committed to everything that concerns the people, always focused on serving them better. He pointed out that spending on health and education increased by 21% last year, which is higher than the average growth of all other sectors. They aim to spend more on health and education with programs that have a stronger impact on people’s lives in the coming phase.