Gov’t bases 2019-20 budget on stronger EGP

Gov’t sees EGP staying strong in 2019-2020 budget: The government is basing its 2019-20 budget on the average exchange rate set by the CBE between 1-15 March, according to a Finance Ministry statement. The average exchange rate for the EGP against the USD during the period was 17.46, a finance ministry official told reporters, according to Reuters’ Arabic service. The EGP has strengthened in recent weeks, hitting a two-year high mid-March on the back of improved tourism, exports and remittances, among other factors. The government approved last week the draft FY2019-20 state budget, setting GDP growth at 6% by June 2020, the budget deficit at 7.2% and primary surplus at 2%.