{"id":568336,"date":"2020-12-27T04:03:05","date_gmt":"2020-12-27T04:03:05","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/"},"modified":"2020-12-27T04:03:05","modified_gmt":"2020-12-27T04:03:05","slug":"egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/","title":{"rendered":"Egypt misses revenue targets thanks to pandemic, but expenses are down, too"},"content":{"rendered":"<p><a class=\"content-anchor\" id=\"tldr-story-05\"><\/a> <strong>Egypt recorded a budget deficit of EGP 462 bn \u2014 or 7.9% of GDP \u2014 in<\/strong> <strong>FY2019-2020, <\/strong>according to <a href=\"http:\/\/www.mof.gov.eg\/MOFGallerySource\/Arabic\/Closing-Account19-20.pdf\">Finance Ministry figures (pdf)<\/a> published this weekend. The overall deficit fell short of <a href=\"https:\/\/enterprise.press\/stories\/2019\/06\/25\/house-approves-fy2019-2020-state-budget\/\">ministry forecasts<\/a> of 7.2% of GDP at the end of the fiscal year, but is still an improvement from the 8.2% recorded in FY2018-2019. Finance Minister Mohamed Maait <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/b0cf47be-9482-49f9-bc1a-4e4a1019da07\">said last month<\/a> that Egypt is on track to continue narrowing the budget deficit in FY2020-2021, and is targeting bringing down the deficit <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/c0557143-d132-4f80-a888-edd3c67085c5\">to 6.3% of GDP<\/a>.<\/p>\n<p><strong>Meanwhile, the primary surplus, which strips debt service payments, narrowed to 1.8%<\/strong> of GDP in the fiscal year, down from 2% in FY2018-2019, and slightly missing an initial target of 1.9% of GDP.<\/p>\n<p><strong>Revenues for FY2019-20 came in lower than expected at EGP 975 bn, <\/strong>around EGP 200 bn below a forecast of EGP 1.2 tn. Finance Minister Mohamed Maait previously said that state revenues <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/cb83464a-f0fb-4a40-9ec8-41af42bbf9b1\">took a hit<\/a> in the final quarter of the fiscal year. This came as the lockdown and economic disruption hit tax revenues, the suspension of flights brought the tourism sector to <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/208459ce-0af4-4af3-b83f-04a417b32cb8\">a standstill<\/a>, and trade disruptions caused <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/314c8ca0-d78a-4877-aa20-00adb9b8736a\">Suez Canal revenues to dip<\/a>.<\/p>\n<p><strong>The collapse in oil prices was a plus as expenses came in at EGP 1.4 tn<\/strong>, outperforming the state\u2019s draft budget, which had forecast a figure closer to EGP 1.6 tn. The consistent drop in oil prices guided government spending on fuel subsidies down 77% during the fiscal year, Maait <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/42834004-89c0-4d33-b3a6-581bf9cd5413\">previously said<\/a>.<\/p>\n<p><strong>The net drop in expenses came despite pressure on state coffers from stimulus and health spending to face covid-19.<\/strong> The government had allocated EGP 100 bn at the onset of the pandemic to tackle emergency spending needs, of which it had doled out some <a href=\"https:\/\/enterprise.news\/egypt\/en\/news\/story\/c7268a5b-a6d2-48a8-b108-8110d3f0e58e\">EGP 65 bn<\/a> by July to purchase medical supplies, staple goods, and pay employment grants for day laborers.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Egypt recorded a budget deficit of EGP 462 bn \u2014 or 7.9% of GDP \u2014 in FY2019-2020, according to Finance Ministry figures (pdf) published this weekend. The overall deficit fell short of ministry forecasts of 7.2% of GDP at the end of the fiscal year, but is still an improvement from the 8.2% recorded in [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7413],"tags":[864,279,72,276,277],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-568336","post","type-post","status-publish","format-standard","hentry","category-budget-watch","tag-budget-deficit","tag-budget-watch","tag-enterpriseam","tag-finance-ministry","tag-mohamed-maait","wpautop","entry"],"acf":{"mongo_id":"cddd0d47-7d9b-48c9-ba36-054ad9bc1d5d","is_powered_by":true,"story_type":"1","photo_url":"","photo_position":"above","related_issue":[568323],"teaser":"","voice_url":""},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Egypt misses revenue targets thanks to pandemic, but expenses are down, too - EnterpriseAM Egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Egypt misses revenue targets thanks to pandemic, but expenses are down, too\" \/>\n<meta property=\"og:description\" content=\"Egypt recorded a budget deficit of EGP 462 bn \u2014 or 7.9% of GDP \u2014 in FY2019-2020, according to Finance Ministry figures (pdf) published this weekend. The overall deficit fell short of ministry forecasts of 7.2% of GDP at the end of the fiscal year, but is still an improvement from the 8.2% recorded in [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/\" \/>\n<meta property=\"og:site_name\" content=\"EnterpriseAM Egypt\" \/>\n<meta property=\"article:published_time\" content=\"2020-12-27T04:03:05+00:00\" \/>\n<meta name=\"author\" content=\"enterpriseam admin\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"enterpriseam admin\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/\"},\"author\":{\"name\":\"enterpriseam admin\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#\/schema\/person\/ca597032db7e4db868359c123cec256d\"},\"headline\":\"Egypt misses revenue targets thanks to pandemic, but expenses are down, too\",\"datePublished\":\"2020-12-27T04:03:05+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/\"},\"wordCount\":308,\"publisher\":{\"@id\":\"https:\/\/enterpriseam.com\/egypt\/#organization\"},\"keywords\":[\"budget deficit\",\"budget watch\",\"EnterpriseAM\",\"Finance Ministry\",\"Mohamed Maait\"],\"articleSection\":[\"BUDGET WATCH\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/\",\"url\":\"https:\/\/enterpriseam.com\/egypt\/2020\/12\/27\/egypt-misses-revenue-targets-thanks-to-pandemic-but-expenses-are-down-too\/\",\"name\":\"Egypt misses revenue targets thanks to pandemic, but expenses are down, too - 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The government is also planning to maintain a 2% annual\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":571283,"url":"https:\/\/enterpriseam.com\/egypt\/2020\/05\/06\/budget-deficit-could-widen-to-7-8-due-to-covid-19-maait\/","url_meta":{"origin":568336,"position":1},"title":"Budget deficit could widen to 7.8% due to covid-19 -Maait","author":"enterpriseam admin","date":"6 May 2020","format":false,"excerpt":"Budget deficit could widen to 7.8% due to covid-19 -Maait: Egypt\u2019s budget deficit could widen to 7.8% of GDP in FY2020-2021 if the covid-19 pandemic continues until the end of the year, Finance Minister Mohamed Maait warned yesterday. The government currently expects to narrow the deficit to 6.3% in FY2020-2021.\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2020\/5\/48.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":542862,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/01\/20\/primary-surplus-falls-y-o-y-in-1h2021-2022\/","url_meta":{"origin":568336,"position":2},"title":"Primary surplus falls y-o-y in 1H2021-2022","author":"enterpriseam admin","date":"20 January 2022","format":false,"excerpt":"Egypt generated a EGP 3.2 bn primary surplus in 1H2021-2022, Finance Minister Mohamed Maait said during the weekly cabinet meeting yesterday. The surplus came on the back of an increase in tax revenues, which rose 16% y-o-y, the minister said.The surplus is down on an annual basis, but it\u2019s still\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/1\/248.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":578353,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/12\/26\/our-first-look-at-the-fy2023-2024-budget\/","url_meta":{"origin":568336,"position":3},"title":"Our first look at the FY2023-2024 budget","author":"enterpriseam admin","date":"26 December 2022","format":false,"excerpt":"Egypt is targeting a GDP growth of 5.5% in its draft budget for the next fiscal year","rel":"","context":"In &quot;BUDGET WATCH&quot;","block_context":{"text":"BUDGET WATCH","link":"https:\/\/enterpriseam.com\/egypt\/category\/budget-watch\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/12\/514.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]},{"id":595371,"url":"https:\/\/enterpriseam.com\/egypt\/2019\/09\/24\/govt-looking-to-reduce-egypts-budget-deficit-to-5-within-two-years-maait\/","url_meta":{"origin":568336,"position":4},"title":"Gov\u2019t looking to reduce Egypt\u2019s budget deficit to 5% within two years -Maait","author":"enterpriseam admin","date":"24 September 2019","format":false,"excerpt":"The government is looking to reduce Egypt\u2019s budget deficit to 5% within two years, which would bring it to a level that international institutions deem \u201csafe,\u201d Finance Minister Mohamed Maait said yesterday, according to Amwal Al Ghad. Speaking at the Future of Investment in Egypt conference, Maait said that Egypt\u2026","rel":"","context":"In &quot;Speed Round&quot;","block_context":{"text":"Speed Round","link":"https:\/\/enterpriseam.com\/egypt\/category\/speed-round\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/internal\/536550.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":544781,"url":"https:\/\/enterpriseam.com\/egypt\/2022\/03\/21\/govt-lowers-fy-2022-2023-budget-targets-as-ukraine-conflict-strains-finances\/","url_meta":{"origin":568336,"position":5},"title":"Gov\u2019t lowers FY 2022-2023 budget targets as Ukraine conflict strains finances","author":"enterpriseam admin","date":"21 March 2022","format":false,"excerpt":"FinMin trims budget targets as Ukraine conflict weighs on state finances: The Finance Ministry has revised downwards its fiscal targets for FY 2022-2023 as rising commodities prices put pressure on public finances, according to figures published in an Ittihadiya statement yesterday evening.Deficit still on course to narrow: The government now\u2026","rel":"","context":"In &quot;Economy&quot;","block_context":{"text":"Economy","link":"https:\/\/enterpriseam.com\/egypt\/category\/economy\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/ent.news\/2022\/3\/272.jpg?fit=%2C&ssl=1&resize=350%2C200","width":350,"height":200},"classes":[]}],"_links":{"self":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/568336","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/comments?post=568336"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/568336\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/568323"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=568336"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=568336"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=568336"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=568336"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=568336"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}