Egypt’s Economy

Group Members:

Abdoulrahman Basha Mostafa El-Kawas

Laila Sameh Mohamed Sayed

Fares El-Ashry Youssef Dessouky

Class: Teacher’s Name:

Grade 11/a Mrs. Sara Essam

 TABLE OF CONTENT

What’s Egypt’s economic current Exposing reasons of these

01 circumstances? 02 circumstances

Give possible solutions to improve

03 our economy 04 Extra Points/Information
 01

What’s Egypt’s economic

current circumstances?
 The Egyptian economy expanded by 3.8% in FY (fiscal year) from
July 2022 till June 2023.

Looking at Q4 (fourth quarter) data the moderation was driven by

softer private consumption growth and plunging government
spending more than offsetting a stronger increase in exports of goods
and services.
 02

Exposing reasons of these

circumstances
 External Debt in Egypt

Egypt has faced challenges related to external debt, and managing this debt burden is crucial for economic
stability.

Egypt's external debt is a significant economic concern. The country has worked on managing and reducing
this debt, often in collaboration with the International Monetary Fund (IMF). Debt sustainability and terms,
including interest rates and maturities, impact fiscal policies. Economic reforms aim to attract foreign
investment and improve overall performance, but the management of external debt remains a critical
challenge for Egypt's economic stabilit.

External debt was 32.8% of GDP in Egypt in 2022, compared to 15.0% of GDP ten years earlier. External
debt averaged USD 26.1% of GDP over the last decade, which was in line with the average for the Middle
East & North Africa of 26.0%.
 Inflation in Egypt

High inflation rates can erode the purchasing power of the currency and create challenges
for businesses and households.

Egypt’s inflation fell to 35.9% in October (2023), food prices still rose a staggering 71.3%
year on year in October. Still, the trend pointed up, with annual average inflation coming
in at 31.7% in October (September: 30.1%).
 Economic Growth in Egypt

The Egyptian economy recorded an average growth rate of 4.2%

in the decade to 2022, above the 2.0% average for Middle East &
North Africa. In 2022, real GDP growth was 6.7%.
 Public Debt in Egypt

Public debt in Egypt averaged 86.7% of GDP in the decade to 2022,

significantly above the Middle East & North Africa region's average
of 40.7% of GDP. Public debt in Egypt was 88.5% of GDP in 2022.
 Budget deficit & surplus

Egypt's budget deficit accounted for 6.1 percent of its GDP in

FY2022/2023. However, the country achieved an $882 million surplus
in its Balance of Payment (BoP) in the same year.

Moreover, the country's debt-to-GDP ratio reached 95.6 percent in

FY2022/2023, with the GDP recording EGP 9.8 trillion ($318,23
billion).
 03

Give possible solutions to improve

our economy
Dismantling inefficient regulations and red tape

It will be essential to increase investment and spur jobs.

Progress in this area would also help bring the informal economic sector into
the fold, with a positive impact on unemployment and standards of living at
large.
 Support international trade and increase exports

By increasing demand for local goods and services, encouraging international commerce
and expanding export markets may improve economic growth.

Governments may negotiate trade agreements, remove trade obstacles, and assist local
firms in becoming more competitive in the global market.

Diversifying export destinations can also help to offset the risks associated with regional
economic downturns.
 Encourage research and innovation

Encouragement of innovation through policies that encourage R&D can result in the
development of new industries and technologies.

This promotes economic growth by increasing productivity and global

competitiveness.
Put investment on education and workforce development

A trained and educated workforce is critical for economic progress.

Investing in education, vocational training, and lifelong learning programs may

improve workforce abilities, allowing them to be more productive and adaptive to
technology developments.
 Improvement of infrastructure

Infrastructure upgrades and expansion, including transportation, communication, and

energy networks, can increase economic activity.

Infrastructure investment not only creates employment but also enhances the economy's
overall efficiency.
 04

Extra Points/Information
 Exports in Egypt

The economy of Egypt recorded an average exports growth rate

of 6.5% in the decade leading to 2022. In 2022, the exports
growth was 51.7%.
 Imports in Egypt

The economy of Egypt recorded an average growth rate of 4.4%

in the decade leading to 2022. In 2022, the growth in imports
was 25.2%.
 Government Consumption in Egypt

The economy of Egypt recorded an average growth rate of 0.2%

in the decade to 2022. In 2022, government consumption
growth was -17.3%.
 Private Consumption in Egypt

The Egyptian economy recorded an average growth rate of

4.5% in private consumption in the decade to 2022. In 2022,
private consumption growth was 3.8%.
Thank You