Egypt is targeting a 5.6 percent inflation rate in the current FY2020/2021, which ends in June, and 6 percent in FY2021/22, which starts in July, Minister of Planning and Economic Development Hala El-Said announced.
El-Said made her statements while reviewing the key targets of the FY2021/22 budget before the meeting of the Planning and Budgeting Committee of Parliament was held on Monday.
El-Said expounded that the expected increase in inflation rate in FY2021/22 comes as a result of the increase in investments and economic activities, adding that it remains in the stable limits of consumer prices.
She also added that unemployment rate is expected to average 7.5 percent by the end of FY2020/21, which is targeted to decline gradually to reach 7.3 percent in FY2021/22, with an aim of decreasing the poverty rate to 28.5 percent.
Egyptian expat remittances are expected to rise in FY2021/22 by 7 percent to record $30 billion, up from $28 billion posted in FY2020/21, according to El-Said.
With the expected incremental recovery in tourism, the sector’s revenues are expected to hit $5.5 billion up to $6 billion in FY2021/22, according to the minister.
She also noted that Suez Canal revenues are expected to record $6 billion in FY2021/22.
El-Said said that foreign investments are expected to go up to $7.4 billion by the second half of FY2021/22, adding that the country’s exports are targeted to increase by 10 percent.