Egypt's Finance Minister Ahmed Kouchouk on Friday told ambassadors from 15 Asian countries that the Egyptian economy is firmly on the path to recovery, citing improved macroeconomic indicators and a renewed focus on private sector engagement. In a meeting held at the Turkish ambassador's residence in Cairo, Minister Kouchouk outlined a string of positive developments, including an uptick in GDP growth to 3.9 per cent in the second half of 2024, up from 2.5 per cent a year earlier. Inflation has also eased significantly, falling to 13.6 per cent in March 2025 from 33.3 per cent the previous year. Non-oil exports climbed 33 per cent, generating approximately $32 billion between July and March, while the government posted a primary surplus of 2.5 per cent of GDP. The overall budget deficit narrowed to 6.3 per cent. Minister Kouchouk said the impact of policy reforms was beginning to take hold, adding that efforts to build trust with the business community were translating into stronger growth and greater fiscal discipline. The minister pointed to a 38 per cent annual increase in tax revenues, attributing the gain to expanded compliance and a broader tax base. Remittances from Egyptians abroad surged 82 per cent in the first half of the current fiscal year, providing a further boost to foreign currency reserves. Key sectors also showed momentum: tourism grew by 13.1 per cent, manufacturing by 12.4 per cent, and ICT by 15.1 per cent. Private sector activity is rising, with private investors accounting for 60 per cent of total investments over the past six months. Minister Kouchouk emphasised that the government is committed to supporting investors with a stable, competitive economic environment. He told the diplomats that the government was ready to address challenges, offer targeted incentives, and strengthen partnerships with its international allies. Looking ahead, Minister Kouchouk said the 2025/2026 budget would focus on growth, stability, and deeper cooperation with the business community. Strategic initiatives will target export industries, manufacturing, tourism, and technology. Egypt's economy is at a turning point, the minister said, as authorities pursue a path from stabilisation to sustained growth. Attribution: Amwal Al Ghad English
