Egypt records budget surplus 0.5% of GDP in 7M2018-19
Primary budget surplus of 0.5% of GDP in 7M2018-19: Egypt recorded a primary budget surplus of EGP 24 bn (or 0.5% of GDP) during 7M2018-19, compared to a deficit of EGP 13 bn a year earlier, the Finance Ministry said in its February monthly bulletin. The budget deficit during the period came in at 4.2%, compared to 4.9% during the same period last year. Tax revenues grew 22.2% to EGP 356.6 bn, while spending on cash subsidies rose 11.4% to EGP 12 bn. Local debt stood at the equivalent of 84.7% of GDP at the end of September 2018, compared to 97.2% a year earlier.
Background: The budget deficit in 1H2018-19 shrank to 3.6% of GDP in 1H2018-19, an Ittihadiya statement said previously, down from 4.2% the previous year, while the primary budget surplus was 0.4% of GDP, up from a deficit of 0.3% during the same period last year. Egypt is targeting an 8.4% budget deficit this fiscal year ending in June and 5.8% GDP growth.