Cairo – Mubasher: Egypt achieved a primary surplus of EGP 35.5 billion during the first nine months of fiscal year 2018/2019, accounting for 0.7% of the country’s gross domestic product (GDP), compared to a primary surplus of EGP 7 billion, representing 0.2% of GDP, in the year-ago period.
The primary surplus hike has contributed to reducing the total budget deficit to EGP 281.3 million, or 5.4% of GDP, from July 2018 to last March, down from EGP 276.3 billion, or 6.2% of GDP, in the corresponding period of FY17/18, compared to an average rate of 7.8% in the last three fiscal years, the Egyptian finance minister said during a press conference on Tuesday.
The North African nation’s revenues grew by 20.3% year-on-year to EGP 598.7 billion in the nine-month period of FY18/19, while public expenditures rose by 13.9% to EGP 879 billion in the same period, Mohamed Maait added.
The minister ascribed the revenue increase to a 16% hike in tax revenues to EGP 468.4 billion from July 2018 to last March.
In addition, non-tax revenues also rose by 37% year-on-year to EGP 129.3 billion in the nine-month period of FY18/19, compared to EGP 94.2 billion.
The finance ministry expects the debt-to-GDP ratio to drop by 93% by the end of June after being reduced to 97% in June 2018 from 108% in June 2017, Maait added.
