A summary of last week’s major macroeconomic updates and indicators brought to you on one page for your convenience.
March 31 to April 6 Coverage:
Ministry of Finance allocated EGP 70 million for the citizens who were affected by the bad weather.
Ministry of Finance’s budget for FY 2020/21 plans to increase wages to EGP 335 billion pounds, an 11.3% increase to improve the conditions of state workers.
Total expenditures in the new budget amounted to about EGP 1.7 trillion, while total revenues amounted to about EGP 1.3 trillion, according to the Ministry of Finance.
EGP 100.2 billion were allocated for goods and services, EGP 326.3 billion for subsidies, while EGP 19 billion were set towards security pensions, and EGP 5.7 billion aimed at supporting social housing, Ministry of Finance reported.
EGP 4 billion was allocated to raise the tax exemption limit from EGP 8,000 to EGP 15,000 and reduce the income tax slides, according to the Ministry of Finance.
CBE’s Monetary Policy Committee set the overnight deposit rate, overnight lending rate, and the rate of the main operation remained unchanged at 9.25%, 10.25%, and 9.75%, respectively. The discount rate also remained unchanged at 9.75%.
CBE allocated EGP 100 billion of granting credit facilities for companies whose annual revenue amounted from EGP 50 million to EGP 1 billion in the private industrial and agricultural sectors.
Egypt’s balance of payments ran an overall surplus of $410.9 million in H1 2019/20 compared to an overall deficit of $1.8 billion in H1 2018/19, according to CBE.
MPED increased the public investment plan for FY 2020/21 to EGP 280.7 billion, a 33% increase compared to FY 2019/20, as well as increased the public treasury’s financed investments from EGP 140 billion to EGP 230 billion, a 64% increase.
The information and communications technology sector is set for an unprecedented 300% increase in investments to reach EGP 10 billion during FY 2020/21, according to MPED.
EGP 250 million was allocated towards the “lifeboat initiative” in 40 villages to raise awareness about the dangers of illegal immigration, MPED reported.
MPED reported that EGP 5 billion will be allocated towards the industrial sector to finance about 13 industrial parks in a number of governorates in FY 2020/21.
MPED aims to achieve 300,000 SMEs funded projects during FY 2020/21, as well as investing EGP 6.4 billion in SME, Al Ahram reported.
The FRA amended the investment policy of the Investor Protection Fund to purchase securities registered in the EGX, and not to exceed 10% of the funds available.
Exports increased by 1.4% recording $2.48 billion in January against $2.45 billion during the same period in 2019, Al Ahram reported.
Imports decreased by 18.4% reaching $5.32 billion in January compared to $6.52 billion in January 2019, according to Al Ahram.