Cairo – Mubasher: The Egyptian government intends to extend debt maturity to become 3.7 years in June this year, Minister of Finance, Mohamed Maait, stated in a press statement on Tuesday.
Egypt has succeeded in extending debt tenor to 3.3 years in June 2021 from less than 1.3 years at the end of fiscal year (FY) 2012/2013, Maait added.
The government is working on reducing debt-to-gross domestic product (GDP) ratio to less than 90% in June 2022, with a plan to further decrease the ratio to less than 85% over the coming three years. This target is compared to 108% debt-to-GDP ratio for Egypt in June 2017.
In June 2020, the finance ministry succeeded in extending the debt maturity to 3.2 years.
Egypt was one of the top countries that managed to reduce the debt-to-GDP ratio after slashing it by 20% during the three years prior to the COVID-19 pandemic. The ratio had declined to 87.5% in FY19/20.
