Cairo – Mubasher: Fitch Solutions, a subsidiary of Fitch Ratings, expected the Egyptian economy to maintain leading the Middle East and North Africa region (MENA) in fiscal year 2019/2020.
Egypt’s gross domestic product (GDP) growth is likely to exceed 5% in the next fiscal year, according to a recent report.
The most populous Arab state’s economy is projected to grow by 5.3% in FY18/19 and by 5.2% in FY19/20, the report added.
It is worth noting that the GDP growth in the MENA region may average between 1.9% and 2.8% in 2019 and 2020, Fitch Solutions said.
On Monday, Egypt’s Ministry of Finance announced it targets a GDP growth of 6% in FY19/20.
The North African state is likely to achieve a GDP of 5.7% this fiscal year, versus 5.3% a year earlier, according to the FY18/19 financial semi-annual report.
The MoF’s report added that Egypt aims to achieve a GDP growth of EGP 6.17 trillion in FY19/20, projecting the country to generate EGP 5.25 trillion this fiscal year.
Last week, finance minister Mohamed Maait stated that Egypt targets a GDP growth of 5.6% in FY18/19, which is slightly lower than its previous target of 5.8%.
In August 2018, Fitch Ratings had affirmed Egypt's long-term foreign currency Issuer Default Rating (IDR) at 'B' with a positive outlook.
The agency forecast that the North African nation’s GDP growth would accelerate to 5.5% in FY18/19 and FY19/20, whereas average inflation will slip to 11.6% in 2019, as compared with 13.0% in 2018.
