Egypt posted its highest primary surplus since 2005 at 3.1 per cent of GDP during the July–May period, despite a drop in Suez Canal revenues and additional energy sector support, Finance Minister Ahmed Kouchouk stated on Wednesday. Kouchouk explained that the country's economy is on the upswing, with strong fiscal performance and an increasing emphasis on the private sector driving investment, according to an official statement from the ministry. Speaking on recent economic indicators, Kouchouk announced that the private sector accounted for 60 per cent of total investments over the past 10 months, reflecting its ability to grow under challenging conditions. The government absorbed a revenue loss of 110 billion Egyptian pounds from the Canal and injected 150 billion pounds in additional support to the energy sector, as per the ministry's announcement. Kouchouk also noted a record 38 per cent year-on-year increase in tax revenue without imposing new burdens, alongside robust growth in key sectors during H1, including tourism, non-oil manufacturing, and ICT. Social spending also rose, with health and education allocations up 27 per cent and 23 per cent respectively. Subsidy spending included 95 billion pounds on food supply (+37 per cent), 30 billion pounds on cash support under the Takaful and Karama programme (+24 per cent), and 11 billion pounds on public health treatment (+35 per cent). Industrial support reached 8 billion pounds (+128 per cent), with 15 billion pounds earmarked for export incentives. Egypt's external debt linked to the budget declined by $2 billion in 10 months, Kouchouk added. Remittances from Egyptians abroad reached $26.4 billion during July–March, marking an 82.7 per cent increase. Attribution: Amwal Al Ghad English
