Egypt’s FY 2023/24 development plan has achieved a notable implementation rate of 98.5% with total investments of EGP 1,626 billion. Minister Rania Al-Mashat emphasized significant growth in private-sector contributions, now at EGP 700 billion. The focus on human development and infrastructure continues, as investments in Upper Egypt increase compared to previous years.
Egypt’s Minister of Planning, Economic Development, and International Cooperation, Rania Al-Mashat, has recently reviewed the fiscal year (FY) 2023/24 development plan with the House of Representatives’ Economic Committee. She reported an impressive implementation rate of approximately 98.5% of the plan, which has a total investment target of EGP 1,650 billion. This meeting, presided over by MP Mohamed Suleiman, involved discussions on the successes of the plan relative to Egypt’s Vision 2030 and the government’s broader objectives.
The total investments realized under the 2023/24 plan amounted to roughly EGP 1,626 billion, reflecting a growth rate of 5.8% from the prior fiscal year. Despite encountering substantial economic challenges, Al-Mashat noted progress in sectors such as non-oil manufacturing, tourism, transport, and storage, contributing to an anticipated overall economic growth of 4% within the current fiscal year.
The Minister emphasized the government’s strategic focus on overseeing public investments to enhance macroeconomic stability, uphold fiscal discipline, sustain public debt levels, and tackle elevated inflation rates. Consequently, there has been a reported uptick in private-sector investments during the first quarter of the current fiscal year.
Discussing the development plan for FY 2025/26, Al-Mashat stated that intensive meetings with various ministries have been convened to ensure alignment with Egypt’s long-term Vision 2030 targets. Public investments reached approximately EGP 926 billion, with a growth rate of 6.3% compared to the previous year, achieving an 88% implementation rate against a target of EGP 1,050 billion.
Nevertheless, public investments as a percentage of total investments decreased to about 57%, down from the anticipated 64%, aligning with the state’s strategy to shift towards a private-sector-driven economic model. The private-sector investments increased significantly to EGP 700 billion in FY 2023/24, which exceeded the set target of EGP 600 billion by 116%, raising their total investment share to around 43%. This increase in private investment has been instrumental in offsetting the reduction in public investments.
Infrastructure investments constituted around EGP 180.6 billion, accounting for 57.9% of total public investments but falling short of the targeted 66.3%. Al-Mashat highlighted that a growing share of the current year’s plan is allocated towards human development, which now represents 42.4% of total public investments, in accordance with constitutional mandates.
Additionally, she noted that local development investments reached approximately EGP 23.2 billion, exceeding the target of 7.2% by registering a contribution of 7.5% to total public investments. The Upper Egypt governorates have notably received about 35% of the total local investments this year, in contrast to 21.4% the previous year.
In summary, Egypt’s FY 2023/24 development plan has demonstrated remarkable implementation, with a near-complete execution rate of 98.5%. The growth in investment, especially from the private sector, underscores a strategic pivot toward bolstering economic resilience. Vigilant oversight of public investments remains vital to achieving macroeconomic stability while addressing inflation. The government’s emphasis on human development and regional investments, particularly in Upper Egypt, reflects a commitment to equitable growth aligned with national objectives.
Original Source: www.dailynewsegypt.com
