House Healthcare Committee digs in on reclassification of EGP 9.4 bn in FY2017-18 budget as debate budget debate grinds on: The House of Representatives’ Health Committee will hold its ground to ensure that funds for wastewater projects now falling under the healthcare line item are reclassified as spending on infrastructure and housing, said committee member Magdy Morshed, in a sign that the dispute over how to classify water infrastructure looks set to continue. He claims that the government has lumped EGP 9.4 bn earmarked for wastewater infrastructure development under allocations for healthcare spending to reach the minimum constitutional requirement, Al Borsa reports. The state has set healthcare spending in FY2017-18 at EGP 105.217 bn, which is equivalent to the constitutionally mandated 3% of the national GDP.

An unnamed government source tells the newspaper that the classification is in line with guidelines from international bodies such as the World Health Organization, which consider the provision of water and wastewater services as indicators of overall public health.

But somehow the House can play around with constitutional mandates all it wants. The Planning and Budget Committee seems to think so, as it is reportedly looking into increasing the education budget by an additional EGP 23 bn in the upcoming fiscal year. The existing allocation already meets the constitutional spending requirement, Al Mal reports.

Meanwhile, House Economics Committee member Ashraf Al Araby is also questioning the government’s GDP projections for the coming fiscal year, claiming that its estimate of 4.6% GDP growth is overly ambitious, Al Mal says. According to Al Araby, Finance Minister Amr El Garhy did not clarify how the state expects to reach its GDP growth target in light of the overall economic slowdown.

Talks on the floor of Parliament this week: The budget, which MPs expect to ratify before their summer recess begins on 30 June, will also be discussed in general assembly sessions throughout the week.