Minister of Finance Mohamed Maait. File Photo
In a press release on Sunday, Minister of Finance Mohamed Maait said the budget for subsidy and social protection network would increase from EGP 358.4 billion in FY2022/2023 to EGP 529.7 billion in FY2023/2024, an increase of 48.8 percent.
Maait added this increase will allow the state "to expand the social protection network for the most vulnerable families as part of overall efforts to improve standards of living."
The finance minister explained that EGP 127.7 billion have been allocated in the new budget to subsidise food commodities, a 41.9 percent increase over the EGP 90 billion figure in the current fiscal year.
He said that EGP 119.4 billion have been allocated to subsidise petroleum products.
He added that EGP 6 billion have been allocated for health insurance and medicines, a 58.2 percent increase over figures in the current fiscal year.
EGP 10.2 billion have been allocated for subsidised housing, a 31.5 percent increase over figures in the current fiscal year.
EGP 31 billion have been allocated for social security pensions, a 25 percent increase over figures in the current fiscal year, Maait said.
Additionally, EGP 202 billion have been allocated for pension fund contributions, an increase of 6 percent over the EGP 191 billion figure in the current fiscal year, which will guarantee financial liquidity necessary to serve pensioners, beneficiaries and the insured.
In addition, the state has earmarked EGP 8 billion to cover the cost of medical treatments to citizens, with an annual growth rate of 14.3 percent.
Maait also stressed that the state is forging ahead with efforts to complete the first phase of the Decent Life presidential initiative to develop the countryside.
Moreover, the finance minister said that “the government is taking necessary measures to support the agricultural and industrial productive sectors, allocating EGP 19.5 billion to support credit facilities for owners of industrial and agricultural projects to stimulate expansion of production.”
Additionally, EGP 28.1 billion have been earmarked in the budget of the next fiscal year under the ‘Export Support’ program to support exports, an increase of 368.3 percent over the EGP 6 billion in the current budget, Maait added.
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