Egypt’s Minister Rania Al-Mashat reported a 98.5% implementation rate of the FY 2023/24 development plan, totaling EGP 1,650 billion, with investments of EGP 1,626 billion. Growth sectors include manufacturing and tourism, with expectations of 4% economic growth. Public investments were EGP 926 billion, while private investments rose to EGP 700 billion, exceeding targets significantly. Local development saw a focus on Upper Egypt with increased allocations for human development sectors.
Egypt’s Minister of Planning, Economic Development, and International Cooperation, Rania Al-Mashat, has reported on the implementation of the fiscal year (FY) 2023/24 economic and social development plan during a meeting with the Economic Committee of the House of Representatives. The plan boasts an impressive implementation rate of approximately 98.5%, with a targeted budget of EGP 1,650 billion. This meeting, chaired by MP Mohamed Suleiman, included key committee members and focused on aligning future goals with Egypt’s Vision 2030 and the government’s work program.
According to Al-Mashat, the actual investments executed within the 2023/24 plan total approximately EGP 1,626 billion, marking a growth rate of 5.8% from the previous fiscal year. Despite facing significant economic challenges, notable improvements have emerged, particularly within sectors such as non-oil manufacturing, tourism, and transport, contributing to expected economic growth of around 4% this fiscal year.
In addition, Al-Mashat examined the government’s strategic governance of public investments aimed at enhancing macroeconomic stability, achieving fiscal discipline, and managing public debt sustainability. This initiative has resulted in increased private-sector investments, particularly in the first quarter of the current fiscal year. Al-Mashat emphasized ongoing discussions with ministries concerning the FY 2025/26 development plan, ensuring alignment with Egypt’s Vision 2030.
With respect to public investments, approximately EGP 926 billion was executed, exhibiting a growth rate of 6.3% compared to last year, though representing only 88% of the targeted EGP 1,050 billion. Consequently, the share of public investments in total investments has decreased to nearly 57%, compared to the targeted 64%, reflecting a conscious shift towards promoting private-sector-led economic growth.
Private-sector investments surged to EGP 700 billion in FY 2023/24, realizing a growth rate of 5.3% and surpassing the target of EGP 600 billion by 116%. This development increased their share of total investments to approximately 43%, exceeding the targeted 36%. Moreover, Al-Mashat noted that this growth in private investment has offset the decline in public investment, reinforcing the state’s commitment to enhance private-sector involvement in alignment with the State Ownership Policy Document.
Investments in infrastructure constituted about EGP 180.6 billion, which accounted for 57.9% of total public investments, slightly lower than the envisioned 66.3%. The allocations, as Al-Mashat shared, were also directed towards human development, increasing their portion to represent 42.4% of total public investments, underscoring the government’s dedication to fulfilling constitutional obligations in supporting human development sectors.
Additionally, local development investments reached approximately EGP 23.2 billion, paving the way for 7.5% of total public investments, surpassing the targeted 7.2%. The Upper Egypt governorates were prioritized, capturing about 35% of total local development investments, a significant enhancement from the 21.4% allocation of the previous year.
In conclusion, Egypt’s development plan for FY 2023/24 has achieved a notable implementation rate of 98.5%, reflecting the government’s commitment to significant economic and social progress despite challenges. The concerted efforts in governance, public and private sector investments, and the focus on human development underscore the alignment with Egypt’s Vision 2030. The results highlight a robust strategy aimed at fostering sustainable economic growth, enhancing fiscal discipline, and addressing local development needs, particularly in Upper Egypt.
Original Source: www.dailynewsegypt.com
