Egypt unveiled its draft economic and social development plan for the 2025/26 fiscal year before the Senate on Sunday, targeting 4 per cent GDP growth. The draft plan lays out a strategy to drive structural reforms, scale private investment, and increase the efficiency of public spending. Planning Minister Rania Al-Mashat said the new framework builds on stabilisation measures adopted in 2024, including tighter monetary and fiscal policy and new incentives to attract foreign capital under the country's National Structural Reform Programme. Strategic Priorities The plan introduces a medium-term budget structure extending to 2028/29, aimed at aligning policy priorities with financing strategies and reducing public sector dominance in investment. It includes new tools to monitor project performance and ensure capital is directed toward high-impact sectors. Recent Economic Performance Growth momentum has begun to rebound, with Minister Al-Mashat saying the economy expanded 3.5 per cent and 4.3 per cent in the first two quarters of the current fiscal year. Key drivers included tourism recovery, non-oil industrial growth, and a strong ICT sector, though Suez Canal revenues remain under pressure due to geopolitical disruptions. Focus on Human Development She also said the government has earmarked 700 billion Egyptian pounds for human development initiatives in FY2025/26, with 327 billion pounds allocated for public investments. The plan also places emphasis on green transition, innovation, and boosting industrial resilience. Minister Al-Mashat reiterated Cairo's focus on improving the investment environment, cutting red tape, and fostering entrepreneurship through a ministerial task force, positioning innovation and tech as central to future growth. Attribution: Amwal Al Ghad English Subediting: Y.Yasser
