He said the surplus allowed the government to expand spending on health, education, housing, and social protection despite fiscal pressures.
Fiscal stability supports investment and services
Speaking at a press conference to review budget performance, Kouchouk stressed that maintaining financial stability was central to attracting private investment and sustaining public spending, even amid global and regional challenges.
He credited economic diversification and closer partnerships with the private sector for helping offset revenue shortfalls, including reduced receipts from the Suez Canal and the energy sector.
Fiscal reforms and resilience measures, he added, are ensuring continuity of services and supporting growth momentum.
Debt ratios improve
Preliminary figures show that the budget sector debt-to-GDP ratio fell to 85.6 percent in June 2025, down from 89.4 percent a year earlier.
External debt for the budget sector also declined by $4 billion over the past two years, with repayments exceeding new borrowing.
The average maturity of domestic debt was extended from 1.2 years in June 2024 to 1.6 years by the end of FY2024/2025, helping reduce refinancing risks and strengthen fiscal sustainability.
Strategy going forward
Kouchouk said the government is pursuing a comprehensive strategy to further improve debt indicators while balancing development goals with fiscal discipline.
“Our fiscal policy is focused on consolidating economic stability, reducing debt burdens, and channeling resources toward growth-oriented and citizen-focused sectors,” he said.
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