PM Madbouly's remarks were made before a host of editors-in-chief and journalists.

During the conference, he announced plans to hold a monthly dialogue session with journalists, writers, and editors-in-chief to answer questions with complete transparency.

Madbouly also emphasized that the Egyptian government never acts impulsively and carefully considers every step to safeguard national security.

During the press conference, Madbouly explained that Egypt first sets its own targets, including achieving a primary surplus, reducing debt, and increasing private sector contributions, and then consults with the IMF through the programmeme.

Furthermore, he emphasized that the state determines these targets and figures in cooperation with the IMF to devise implementation mechanisms.

Madbouly noted that while there might be disagreements on timelines, the state ultimately decides on the targets and the conditions under which they are achieved.

He also stated that the current programme with the IMF ends in 2026 and that the government is working to ensure it will be the last.

In addition, Madbouly highlighted the IMF's approval of the third review of the funding programme, which allows Egypt to access an $820 million tranche, as a vote of confidence in the government's programme.

This review is part of the latest 46-month IMF loan programme, approved in 2022, which was increased to $8 billion this year.

Madbouly expressed confidence that Egypt will recover from the economic crisis by 2025 through reducing inflation.

He predicted that within 15 years, Egypt would be among the world's top 10 economies.

"Egypt is one of the largest economies in the world, and even with existing crises, the world sees Egypt as one of the top economies globally," Madbouly stated.

Suez Canal Revenue Decline
 

The Prime Minister also addressed the significant impact of the regional political situation and tensions in the Red Sea on the Suez Canal.

Madbouly revealed that due to these tensions, Egypt has lost $500 to $550 million monthly in Suez Canal revenues.

Revenues have dropped from $850 million monthly to $300 million.

Despite these challenges, Madbouly asserted that Egypt remains a significant regional power.

Electricity Crisis and Fertilizer Supply
 

Madbouly explained that resolving the issue of power cuts reduced gas supplies to fertilizer factories, subsequently decreasing the availability of fertilizers in the market.

He acknowledged that part of the subsidized fertilizers is sold on the black market, thus exacerbating the existing support system gap.

Madbouly proposed that support could be provided in cash, allowing goods to be sold at natural prices and enabling farmers to purchase them.

He called for a comprehensive vision for the subsidy system and urged the National Dialogue to assist the government by leading discussions on this matter.

Furthermore, Madbouly highlighted Egypt’s goal to reach a comprehensive vision by the end of the year to implement the 2025/2026 fiscal budget.

He also stressed that the state cannot indefinitely provide subsidies at such high levels and would be compelled to gradually increase prices to narrow the gap without altogether eliminating subsidies.

In addition, he said all economic experts advise transitioning to cash support, although this approach requires taking certain precautions and meeting certain requirements.

Fuel Price Increases and Public Safety
 

Madbouly explained the government's rationale behind announcing fuel price increases during official holidays.

He stated that this strategy is intended to prevent fuel hoarding and allow for negotiations with drivers and transport associations on the new fares to avoid conflicts between citizens and drivers.

The aim is to ensure a stable situation when citizens return to their daily activities to avoid any problems occurring due to the new prices between citizens and drivers.

The Ministry of Petroleum and Mineral Resources announced Thursday 10 to 15 percent increases in fuel prices for the second time in 2024.

Madbouly explained that the government does not want to raise prices because such decisions decrease popularity.

"No government wants to reduce its popularity on the street, but we were forced to raise prices due to the economic conditions and the burdens the state bears," he explained.

National Water Security and the GERD talks
 

The Prime Minister reiterated that Egypt's national water security is crucial, particularly as talks on the Grand Ethiopian Renaissance Dam (GERD) continue. 

Madbouly affirmed that Egypt would not relinquish its rights to Nile water and emphasized that entering into conflicts is the last resort.

The government, he said, prefers cooperation and the implementation of mutually beneficial projects but will firmly stand against any threats to Egypt's rights.

Madbouly's remarks come as the fifth filling of the dam started on 17 July by Ethiopia without the approval of Egypt or Sudan.

Despite holding several negotiation rounds, an agreement has yet to be reached. The latest talks occurred over six months ago.

For more than a decade of negotiations, Egypt and Sudan have sought a legally binding agreement governing the filling and operation of the dam to ensure their water security and preserve Ethiopia’s interests. 

However, Ethiopia seeks to sign non-binding guidelines on the dam's filling and operation rules that can be modified at any time at its discretion.

Egypt, which relies mainly on the Nile for its water needs, fears the dam will harm its already scarce water supply.