Egypt’s economy tripled in size over past six years: Finance minister

Doaa A.Moneim , Wednesday 14 Sep 2022

Egypt’s economy has tripled in size over the past six years despite the economic challenges, Minister of Finance Mohamed Maait told the Korean Ambassador in Egypt Hong Jin-wook on Wednesday during a meeting at the finance ministry headquarters in the presence of a delegation of Korean investors.

main

 

According to Maait, Egypt attained the highest GDP growth rate of 6.6 percent in 2008, compared to an average of 3.2 percent in emerging markets.

He noted that Egypt achieved an initial surplus, for the fifth consecutive fiscal year, worth EGP 100 billion in FY 2021/2022 (1.3 percent of GDP). In addition, the budget deficit contracted in FY 2021/2022 to reach 6.1 percent of GDP, down from 13 percent in FY 2012/2013.

Egypt’s GDP growth is expected to moderate to 5.5 percent in the current FY 2022/2023 and to five percent in FY 2023/2024 owing to the Russian-Ukrainian conflict.

The rate is expected to jump to seven percent in FY 2025/2026 and FY 2026/2027.

“Egypt is eager to reduce all barriers for the sake of stimulating both local and foreign investments, including the Egyptian-Korean partnership in order to maximise Egypt's export and production capacities and provide more job opportunities,” the minister told Hong.

Maait highlighted the distinguished relations between the two countries, stressing that the ministry is willing to support the Korean companies operating in the Egyptian market to expand their investment activities.

During the meeting, Maait invited the Korean ambassador to attend the meetings of the Finance Day, scheduled for November on the sidelines of COP27 in Sharm El-Sheikh.

Hong underpinned the efforts of the Egyptian government to encourage and facilitate Korean investments, noting that 170 Korean companies operate in the Egyptian market with a total investments of $800 million.

“We are looking forward to further economic cooperation with Egypt going forward,” said Hong.

He noted that the trade balance between the two countries is tipping towards balancing due to the increasing Egyptian exports to South Korea.

Trade exchange between Egypt and South Korea rose by 23.6 percent during the first 10 months of 2021, recording $1.9 billion, up from $1.6 billion during the corresponding period in 2020, according to the latest figures published by the Central Agency for Public Mobilisation and Statistics (CAPMAS).

During the same course, the Egyptian imports from South Korea increased to $1.4 billion, up from $938.4 million, growing by 44.8 percent.

Short link: