Egypt Approves $91 Billion Budget Amid IMF Pressures

Egypt's cabinet has approved a draft state budget of EGP 4.6 trillion ($91 billion) for the fiscal year 2025/26, reflecting an 18% increase in expenditures and a 19% rise in revenues. The budget aims to achieve a primary surplus of EGP 795 billion, equivalent to 4% of GDP, while reducing public debt to 82.9% of GDP. A significant portion of the budget is allocated for subsidies, grants, and social benefits, including a 20% increase in food subsidies to EGP 160 billion. Notable investments are also directed towards healthcare and social protection, with public sector wages set to rise by 18.1%. The government is working to stabilize its economy under an IMF program, which has recently disbursed $1.2 billion following a positive review of Egypt's financial reforms. These measures come as the country continues to address elevated inflation and economic challenges stemming from its worst financial crisis in decades.