Flexible financial policies are needed in global economy: Finance minister

Ahram Online , Wednesday 28 Feb 2024

Minister of Finance Mohamed Maait emphasized that amid the various challenges faced by the global economy, there is a strong need for flexible financial policies.

Egypt s Minister of Finance Mohamed Maait
File Photo: Egypt s Minister of Finance Mohamed Maait. Photo courtesy of ministry of finance.


During his participation in the session "The Role of Economic Policies in Addressing Inequality: National Experiences and International Cooperation" at the meetings of the G20 Finance Ministers and Central Bank Governors in Brazil, Maait stated that such flexibility helps in containing shocks and mitigating risks that may impact the overall economy of developing countries.

He noted that emerging economies have been severely affected by exceptional global circumstances, resulting in unprecedented challenges for the budgets of developing nations and affecting global development trajectories.

Maait stated that developing countries are fighting on all fronts to meet the needs of citizens amid an intense wave of inflation.

He also highlighted the urgent need for international cooperation during these challenging times to support national efforts in social protection.

Furthermore, Maait pointed out that Egypt has significant experience in poverty alleviation, following a comprehensive strategy for social protection implemented over the past years.

This strategy, he said, focuses on more targeted support programs for deserving groups, citing "Takaful and Karama" and the national project "Decent Life." During the session, Maait also explained how the Egyptian government implemented exceptional social protection measures since the onset of the COVID-19 pandemic to mitigate the impact of so many unexpected shocks on citizens amid an unprecedented global rise in inflation rates.

This reflects the belief that social protection is a fundamental pillar of any successful economic reform, he noted.

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