We’ll officially know the ins and outs of the new social protection package “within days,” Prime Minister Moustafa Madbouly said during his weekly presser (watch, runtime: 19:57) yesterday. The package of minimum wage hikes and pension increases will come into effect starting the next fiscal year, which starts in July, he added.

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As things stand: The package is undergoing discussions and will be presented to President Abdel Fattah El Sisi once it’s finalized, Madbouly said. “We hope to announce it within the coming days,” he continued.

What we know about the package: The government is planning to raise the minimum wage for civil servants and workers at state-owned enterprises by EGP 1.5k to EGP 7.5k, a senior government source told EnterpriseAM yesterday. This is higher than the previously reported incoming increase that suggested a new minimum wage of EGP 7k. The government will also raise the exceptional cost of living allowance to EGP 1k, with an increase of EGP 600 for special cadres, including doctors and teachers, the source said.

Some 13 mn pensioners could also receive a 15% pension increase, our source confirmed. The package could also see the addition of 500k families to the Takaful and Karama social safety program, prioritizing those most vulnerable, and an increase in the personal income tax exemption threshold to EGP 65k — up from EGP 60k previously — while keeping other income brackets unchanged, the source added.

The government is required to do this under its agreement with the IMF, but the government will try to push to extend timelines to not “exacerbate the resulting inflationary burdens,” Al Ahly Pharos Senior Economist Esraa Ahmed told EnterpriseAM. But whether or not the IMF agrees to push deadlines to completely turn off the tap for certain subsidies the government will still need to “implement certain social protection measures simultaneously or even proactively,” according to Ahmed.

ALSO FROM MADBOULY’S PRESSER-

A new energy find in the Mediterranean: Energy giant BP has made a fresh discovery off the North Coast in its King Mariout offshore concession, with initial reports suggesting the site could yield both gas and oil. More data is expected soon, but officials believe this could be the first of several finds in the area, Madbouly said.

Remember: Egypt awarded BP an offshore exploration block in the concession back in 2022, giving it 100% of the exploration rights for the area.

AND- The government is looking to see exports growing at an annual rate of 15-20% to achieve a trade surplus before 2030, Madbouly said, pointing to agriculture exports, which hit a record USD 10.6 bn last year.

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