Egyptian Prime Minister Moustafa Madbouly unveiled the government's bold economic goals for the next three years, including a targeted growth rate of at least 5.5 per cent. While international institutions predict growth between 4 per cent and 4.5 per cent, the prime minister expressed the government's determination to push for even higher growth, citing ongoing reforms to achieve this. He made these remarks during a recent meeting with specialised advisory committees, as per a Cabinet statement on Tuesday. Inflation on a Downward Trajectory Prime Minister Madbouly also touched on Egypt's inflation rate, which has seen a decline for the first time in two years. He reaffirmed the government's goal to bring inflation down to single digits by 2026, despite acknowledging the challenges ahead. The prime minister emphasised the collaborative efforts needed to meet these targets and stabilize the economy. Strategic Committees for Economic Reform: Tackling Growth, Inflation, and Debt A key part of the discussion focused on the newly established advisory committees, including one dedicated to macroeconomics. This committee, which includes top experts, will work on key issues such as boosting growth, controlling inflation, and managing Egypt's public debt. Prime Minister Madbouly underscored the importance of reducing Egypt's debt ratio, especially in light of high interest rates that currently allocate over 43 per cent of the national budget to debt servicing. Egypt's Path to a Trade Surplus by 2030 Turning to Egypt's export sector, Prime Minister Madbouly highlighted the significant progress made, with non-oil exports increasing by 119 per cent last year. He projected that by 2030, Egypt's exports could reach $115.8 billion, creating a trade surplus of $10 billion, provided the current growth trajectory continues. He also discussed efforts to further boost exports, with a target annual growth of 15 per cent and 20 per cent. Burgeoning Digital Economy and Entrepreneurship The Digital Economy and Entrepreneurship Advisory Committee was also a focus, with the prime minister emphasising the sector's potential for job creation and economic transformation. He noted that Egypt's digital economy exceeded 267 billion Egyptian pounds and has substantial room for growth, particularly in areas like artificial intelligence. Tourism Sector's Record-Breaking Performance Prime Minister Madbouly celebrated the tourism sector's record-breaking performance in 2024, with 15.7 million tourists visiting Egypt. He set a target of 30 million tourists by 2030, aiming to double last year's achievements. He concluded by addressing public concerns about foreign currency earnings from sectors like tourism and exports, urging transparency and accountability in how these funds are integrated into Egypt's banking system. With clear targets and a comprehensive reform strategy, Egypt is poised for significant economic growth in the years ahead. Attribution: Amwal Al Ghad English
