Speaking during a dialogue with students applying to the Police Academy, Sisi emphasized that reducing dependence on borrowing can only be achieved by controlling public expenditures.
He highlighted that societal awareness is fundamental to
achieving progress, stating that a citizen's understanding of personal
budgeting can serve as a model for comprehending the national economy.
Sisi recalled that Egypt had no debt before 1970, with
borrowing beginning after the 1967 war to meet state requirements.
"From the 1970s until today, we have witnessed a
significant expansion in spending, and sometimes the available financial
resources are insufficient, so we resort to borrowing to cover the gap between
the available and required expenditures," the President said.
The President stressed that eliminating public debt requires
collective will and vast societal awareness, particularly regarding subsidy
policies and pricing decisions. "When I am forced to reduce fuel
subsidies, it is not to increase prices, but to control and prevent the debt
from growing. Societal understanding of these measures is essential," he
noted.
Illustrating the burden of subsidies, Sisi said the total
annual subsidy bill—covering fuel, bread, commodities, electricity, and other
services—amounts to 600 billion pounds per year. He also gave the example of
the butane gas subsidy, noting that two years ago the state paid 250 pounds of
the cost for each cylinder, resulting in an annual subsidy cost of up to 30
billion pounds for butane alone.
The President affirmed that Egypt is transparent in managing
its domestic and foreign debt, regularly servicing interest payments, and
stressed that balanced financial planning is key to economic stability.
He concluded the economic discussion by reiterating that to
achieve a good budget and spend well without borrowing, "you need 50
trillion pounds a year... 50 trillion covers everything people need."
Separately, the President confirmed the state is making
significant efforts to qualify youth in digitization and Artificial
Intelligence (AI), stressing that this represents a decisive step for
development given Egypt's large youth population. He added that attracting even
10% of high school students to computing and programming could lead to a
breakthrough in digital cadres.
Finally, Sisi asserted that stability and security are the true foundation for any economic take-off, especially the tourism sector, noting that the sector cannot grow except in a secure state. He explained that Egypt has the potential to host 60 million tourists annually, significantly more than the current 13-14 million, and that continuing the current approach would soon see Egypt reach 28 million tourists.