Egyptian Economy Recovering, Says IMF

The International Monetary Fund (IMF) stressed that the Egyptian economy begun to recover four years after a total economic slowdown.

In a report issued at the end of the IMF delegation visit to Egypt, IMF’s Mideast and Central Asia Department Head Christopher Jarvis, said all members of the delegation sensed a national consensus on the importance of carrying out economic reforms.

Jarvis, who held talks with Egyptian government and Central Bank officials, said “Egypt is still facing many challenges, including growing unemployment and poverty rates, budget deficit and declining growth rates.”

“But the most important is that the Egyptian government is well aware of these challenges and that it is taking steps to address them,” he added.

The government seeks to lower the budget deficit, estimated now at 12.8%, to 8 or 8.5% of the total GDP and increase spending on education, health, infrastructure and scientific research.

“The structural reforms the government seeks to carry out will center on improving investment climate and developing the financial sector,” he added.

The IMF said the new policies adopted by the government began to bear fruits.

The report expected that the growth rate would reach 3.8 percent in 20142015.

It lauded the performance of the banking sector, saying it succeeded in addressing the economic depression that hit the country since the January revolution.


Source : Egypt State Information Service