It would appear export subsidies in the FY 2016-17 budget stand at EGP 4 bn, according to Deputy Finance Minister Ahmed Kouchouk, less than the EGP 6 bn promised by Industry and Trade Minister Tarek Kabil. Kouchouk tells Al Mal the subsidies will be conditional, implying that the number of exporters who benefit from the program needs to grow for the funds to be disbursed. The Finance Ministry has also increased its budget allocation for connecting utilities to industrial projects, earmarking EGP 1.5 bn in the new budget, more than 4x from last year’s EGP 400 mn.

Meanwhile, Kouchouk suggested the IMF delegation is now focusing on Egypt’s social safety net and the government’s provisions to shield low-income citizens from the effects of the reform agenda, according to comments Al Ahram attributed to the deputy minister. Kouchouk added that the talks with the IMF are progressing well.

Positioning the IPO program for domestic consumption: With plans afoot to sell stakes in nearly a half-dozen state-owned companies, the government is pre-selling the public on the notion of khawaget buying in via an international institutional offering. Government sources speaking with AMAYyesterday said the state expects to rake in USD 20-40 bn through the offerings. The story plays up the “IPO of state-owned companies = hard currency” angle rather heavily.