Arab Finance: President Abdel Fattah El-Sisi held a meeting with Prime Minister Mostafa Madbouly and Minister of Finance Ahmed Kouchouk to review the progress of the state’s fiscal and economic policies, as per a statement.
These discussed policies included the first tax relief initiative and international debt reduction efforts.
The meeting also addressed the results of the tax relief initiative, which runs through June 19th, 2025.
The finance minister reported that 110,000 applications have been submitted for voluntary tax dispute settlements.
Additionally, over 450,000 new or amended tax returns have been filed, resulting in additional returns worth EGP 54.76 billion.
Kouchouk also highlighted that 52,901 taxpayers with annual turnovers under EGP 20 million have applied for tax incentives under Law No. 6 of 2025.
These figures reflect growing trust in the initiative and broader engagement with formal tax channels.
Moreover, the meeting reviewed the Ministry of Finance’s plan for international bond issuances for fiscal year (FY) 2024/2025.
Initial indicators show progress in reducing the external debt burden of budgetary entities by $1 to $2 billion annually, in line with government efforts to strengthen fiscal stability.
The discussion also covered the impact of global market fluctuations, including the economic repercussions of the Iran-Israel conflict, on rising shipping costs and commodity price volatility.
Furthermore, Kouchouk presented the actual financial performance for the period from July 2024 to May 2025.
The government achieved a strong primary surplus, narrowed the overall fiscal deficit, and saw a 36% rise in tax revenues, driven by improved economic activity and an expanded tax base, without imposing new financial burdens.
The meeting also examined fiscal targets for the FY 2024/2025, including the debt-to-GDP ratio for general budget entities, developments in tax revenues, economic growth rates, wage policies, and government spending on goods, services, and social benefits.
It is noteworthy that government investment trends were also reviewed during the meeting.
Kouchouk provided updates on Egypt’s progress in implementing IMF-backed reform measures and the ongoing negotiations to secure the fifth review tranche under the current program.
Meanwhile, El-Sisi instructed officials to draw on successful international experiences to maintain financial and tax policy stability, broaden the tax base, enhance the investment climate, and boost exports, production, and employment.
The president stressed the importance of reinforcing financial discipline and increasing allocations for social protection and human development, while taking precautionary measures in light of regional instability and economic uncertainty.
