{"id":648168,"date":"2017-05-30T03:59:08","date_gmt":"2017-05-30T03:59:08","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2017\/05\/30\/government-earmarks-extra-egp-46-bn-for-social-security-spending-to-combat-price-increases\/"},"modified":"2017-05-30T03:59:08","modified_gmt":"2017-05-30T03:59:08","slug":"government-earmarks-extra-egp-46-bn-for-social-security-spending-to-combat-price-increases","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2017\/05\/30\/government-earmarks-extra-egp-46-bn-for-social-security-spending-to-combat-price-increases\/","title":{"rendered":"Government earmarks extra EGP 46 bn for social security spending to combat price increases"},"content":{"rendered":"<p><a class=\"content-anchor\" id=\"tldr-story-01\"><\/a> <strong>The Ismail government has signed off on an EGP 46 bn social security package for <\/strong><strong>FY2017-18<\/strong>, according to <a href=\"https:\/\/enterprise.press\/wp-content\/uploads\/2017\/05\/\u0628\u064a\u0627\u0646-\u0635\u062d\u0641\u0649-\u0648\u0632\u0627\u0631\u0629-\u0627\u0644\u0645\u0627\u0644\u064a\u0629-1.pdf\">a statement from the Finance Ministry<\/a>. The package includes a 15% increase in pensions at a cost to the state of EGP 20 bn in a bid to cushion pensioners from the worst of record-high inflation, Social Solidarity Minister Ghada Wali told <a href=\"http:\/\/www.almasryalyoum.com\/news\/details\/1140897\">Al Masry Al Youm<\/a>. Cash transfers from the Takaful and Karama programs will increase by about EGP 100 per household as the government earmarked an extra EGP 2.25 bn for them, she added. Finance Minister Amr El Garhy says the government will also disburse two bonuses to state employees who are subject to the Civil Service Act, while state employees not regulated by it will get one bonus payment.<\/p>\n<p><strong>The Ismail cabinet also approved raising the minimum income tax threshold to EGP <\/strong><strong>7,200 a year from EGP 6,500<\/strong>, Vice Minister of Finance Amr El Monayer told a news conference on Monday, according to <a href=\"http:\/\/www.reuters.com\/article\/egypt-economy-tax-idUSC6N1GS000\">Reuters<\/a> and <a href=\"http:\/\/www.almasryalyoum.com\/news\/details\/1141035\">AMAY<\/a>. That means individuals earning less than 7,200 a year (or half the minimum wage) will not be subject to income tax.<\/p>\n<p><strong>The state will also provide tax breaks to citizens, with the size of break falling <\/strong><strong>the higher up the income ladder you are<\/strong>. Those making between the minimum threshold of EGP 7,200 and EGP 30,000 will see their taxes discounted by 80%. Those making EGP 30,000-45,000 will receive a 40% break, while those making up to EGP 250K will be getting 5% off their tax bills, said El Monayer.<\/p>\n<p><strong>The increased spending was taken into consideration when drafting the FY2017-18 <\/strong><strong>budget, <\/strong>said Vice Minister of Finance Ahmed Kouchouk, who added that the government is still projecting a deficit of 9% of GDP during the year, <a href=\"https:\/\/www.bloomberg.com\/politics\/articles\/2017-05-29\/egypt-s-cabinet-approves-2-48-billion-social-aid-program\">Bloomberg<\/a> reports. Some elements of the package will remain outside the budget and will require separate legislation, El Garhy noted, saying these have to do with tax benefits, according to <a href=\"http:\/\/www.elborsanews.com\/2017\/05\/29\/1027968\">Al Borsa<\/a>. Bloomberg, meanwhile, says \u201cthe package, excluding the cash subsidy raise, requires parliament approval.\u201d<\/p>\n<p><strong>The story is getting widespread pickup outside of Egypt<\/strong> thanks to coverage by Reuters and Bloomberg (above) and a take by <a href=\"http:\/\/abcnews.go.com\/International\/wireStory\/egypt-announces-249-billion-package-cope-inflation-47704414\">the Associated Press<\/a>.<\/p>\n<p><strong>Uh, how much, exactly, is the package worth? <\/strong>The release from the Finance Ministry puts it at EGP 46 bn. They\u2019re the folks who foot the bill, so we\u2019re going with them. But Bloomberg is reporting EGP 45 bn, Reuters is saying EGP 43 and we\u2019ve seen EGP 43 in some domestic press outlets.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Ismail government has signed off on an EGP 46 bn social security package for FY2017-18, according to a statement from the Finance Ministry. The package includes a 15% increase in pensions at a cost to the state of EGP 20 bn in a bid to cushion pensioners from the worst of record-high inflation, Social [&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":[8572],"tags":[72,2380],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-648168","post","type-post","status-publish","format-standard","hentry","category-speed-round","tag-enterpriseam","tag-speed-round","wpautop","entry"],"acf":{"mongo_id":"50ef5024-b10f-4bf0-9429-256bcaf17026","order":"0","is_powered_by":true,"story_type":"1","photo_url":"","photo_position":"above","related_issue":[648161],"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>Government earmarks extra EGP 46 bn for social security spending to combat price increases - 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\/2017\/05\/30\/government-earmarks-extra-egp-46-bn-for-social-security-spending-to-combat-price-increases\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Government earmarks extra EGP 46 bn for social security spending to combat price increases\" \/>\n<meta property=\"og:description\" content=\"The Ismail government has signed off on an EGP 46 bn social security package for FY2017-18, according to a statement from the Finance Ministry. 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The package, which is meant to help offset the impact on low income earners of an expected hike in fuel and energy prices at the start of the new\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":629201,"url":"https:\/\/enterpriseam.com\/egypt\/2018\/05\/24\/govt-to-announce-egp-15-bn-social-protection-package-in-july-to-offset-rising-prices\/","url_meta":{"origin":648168,"position":1},"title":"Gov\u2019t to announce EGP 15 bn social protection package in July to offset rising prices","author":"enterpriseam admin","date":"24 May 2018","format":false,"excerpt":"Gov\u2019t to announce EGP 15 bn social protection package in July: The government is planning to further reinforce the social safety net at the beginning of July to offset the impact of the planned electricity and fuel hikes, unnamed government sources tell Al Mal. 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This should come to around EGP 40 bn, he told President Abdel Fattah El Sisi and\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":646434,"url":"https:\/\/enterpriseam.com\/egypt\/2017\/06\/14\/electricity-prices-will-definitely-rise-in-july-official-says-government-plans-additional-welfare-package\/","url_meta":{"origin":648168,"position":3},"title":"Electricity prices will definitely rise in July, official says; government plans additional welfare package","author":"enterpriseam admin","date":"14 June 2017","format":false,"excerpt":"There\u2019s no question that electricity prices will rise in July, an unnamed senior Electricity Ministry official told Al Shorouk on Tuesday, dismissing persistent rumors the price hike would be delayed. Electricity Minister Mohamed Shaker said last month that the hike was inevitable but will be modest. The source speculated that\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":648928,"url":"https:\/\/enterpriseam.com\/egypt\/2017\/04\/18\/government-hypes-up-social-spending\/","url_meta":{"origin":648168,"position":4},"title":"Government hypes up social spending","author":"enterpriseam admin","date":"18 April 2017","format":false,"excerpt":"Cabinet spent the long weekend hyping up social welfare spending ahead of its budget debate in the House after its draft 2017-18 budget \u2018leaked\u2019 to the media. The Ismail government spent the long weekend promoting its social welfare spending as it prepares to sell the House of Representatives on its\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":661429,"url":"https:\/\/enterpriseam.com\/egypt\/2025\/02\/27\/kouchouk-announces-egp-85-bn-package-of-wage-and-pension-hikes\/","url_meta":{"origin":648168,"position":5},"title":"Kouchouk announces EGP 85 bn package of wage and pension hikes","author":"enterpriseam admin","date":"27 February 2025","format":false,"excerpt":"The public-sector minimum wage will rise by EGP 1k to EGP 7k","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\/2025\/2\/2649.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\/648168","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=648168"}],"version-history":[{"count":0,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/posts\/648168\/revisions"}],"acf:post":[{"embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/issue\/648161"}],"wp:attachment":[{"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/media?parent=648168"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/categories?post=648168"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/tags?post=648168"},{"taxonomy":"brand","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/brand?post=648168"},{"taxonomy":"newspack_spnsrs_tax","embeddable":true,"href":"https:\/\/enterpriseam.com\/egypt\/wp-json\/wp\/v2\/newspack_spnsrs_tax?post=648168"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}