The ministry attributed the rise in tax revenue to increased tax receipts from sovereign and non-sovereign authorities.

Tax receipts from sovereign authorities grew by EGP 37.4 billion (a 35.2 percent increase), reaching EGP 143.7 billion during July-October 2024/2025, up from EGP 106.3 billion in the same period in 2023/2024.

Additionally, tax receipts from non-sovereign authorities surged by around EGP 117.9 billion, marking a 39.4 percent increase to EGP 417.1 billion, compared to EGP 299.2 billion during the same period in 2023/2024.

The finance ministry has also been working to improve the tax system, announcing its first tax incentives and facilities package.

As part of these efforts, the government encourages taxpayers to submit or amend their tax returns for 2020-2023 without penalties, aiming to rebuild trust within the tax community.

Decline in budget deficit
 

The report also announced that the overall budget deficit decreased by EGP 97 billion (1.3 percent of GDP), reaching -2.65 percent of GDP during July-October 2024/2025, compared to -3.93 percent of GDP during the same period in 2023/2024. 

Egypt's budget deficit declined by 2.1 percent of GDP in the first quarter (Q1) of FY2024/2025, compared to 3.2 percent in the corresponding period of FY2023/2024.

Egypt's budget deficit for FY2024/2025 is expected to reach EGP 1.245 trillion, accounting for 7.3 percent of the country’s GDP.

The report also highlighted that the primary balance surplus significantly increased by EGP 87 billion (0.5 percent of GDP) in July-October of FY2024/2025. This marks the highest primary balance ever recorded, three times the amount compared to the same period in FY2023/2024.

It reached EGP 130.2 billion (0.76 percent of GDP) in July-October of FY2024/2025, compared to EGP 43.6 billion (0.31 percent of GDP) in the corresponding period of FY2023/2024.

Meanwhile, the primary surplus for the first quarter of FY2024/2025 reached EGP 90 billion, more than four times the surplus achieved in the same period of FY2023/2024.