In a discussion with investors from Jefferies and HSBC on the sidelines of the IMF and World Bank meetings in Washington, Kouchouk detailed key economic progress: The primary surplus for the first quarter exceeded targets, tax revenues are seeing high growth, driven by improved economic activity and increased confidence, net foreign assets (NFAs) have reached favorable levels, and inflation indicators have strongly declined, prompting interest rates to begin their expected descent.
He stressed that the sustained drop in inflation will
ultimately lead to a logical and sound reduction in interest rates benefiting
both investors and citizens. This progress, he added, is underpinned by constant
coordination and full alignment across all government entities, resulting in consistent
and integrated economic policies.
Kouchouk emphasized the commitment to a prolonged, positive
dialogue with the business community, aimed at building trust, partnership, and
tax certainty. He stated the government seeks to partner with the private
sector to develop more efficient and fair tax and customs systems that protect
the rights of both the state and taxpayers.
The Minister asserted that the private sector is highly
competitive and capable of transforming Egypt into a manufacturing and export
hub. He noted the encouraging response from the private sector to tax reforms
based on a partnership of trust.
Kouchouk concluded that the government's fiscal priorities are to provide a larger fiscal space for spending on health, education, social protection, and economic support programs, while focusing on supporting economic activity and reducing government debt.