{"id":686623,"date":"2026-02-23T00:00:00","date_gmt":"2026-02-23T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2026\/02\/23\/finmin-targets-deficit-reduction-in-latest-budget-draft\/"},"modified":"2026-02-23T00:00:00","modified_gmt":"2026-02-23T00:00:00","slug":"finmin-targets-deficit-reduction-in-latest-budget-draft","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2026\/02\/23\/finmin-targets-deficit-reduction-in-latest-budget-draft\/","title":{"rendered":"FinMin targets deficit reduction in latest budget draft"},"content":{"rendered":"

Good afternoon, ladies and gentlemen, and welcome back. <\/strong>It\u2019s a relatively calm afternoon at home, but the same can\u2019t be said for the global press. In today\u2019s issue, we take a look at how you can successfully navigate a career switch, recommend your next Ramadan podcast, and list the footie fixtures we\u2019ll be watching tonight.<\/p>\n

So, when do we eat? <\/strong>Maghrib prayers are at 5:50pm in the capital, and you\u2019ll have until 5:00am tomorrow to hydrate and caffeinate ahead of fajr.<\/p>\n

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THE BIG STORY TODAY-<\/p>\n

\ud83d\udccd First insights into the new budget: <\/strong>Egypt\u2019s draft FY 2026-27 budget is being finalized ahead of its March submission deadline and is set to anchor the next phase of economic reform by narrowing the deficit and boosting revenues while containing spending growth, government sources told EnterpriseAM. <\/p>\n

Revenues are projected to exceed EGP 3.5 tn <\/strong>\u2014 driven mainly by higher tax and customs receipts expected to reach EGP 2.8 tn \u2014 supported by tax-base expansion, VAT amendments, and competitive-neutrality measures that previously generated EGP 68 bn for the treasury. The Finance Ministry is also targeting exceptional inflows from licenses and divestments while tightening oversight of special funds. <\/p>\n

Spending growth will slow as energy subsidies are phased down<\/strong> \u2014 except for diesel and butane \u2014 alongside a gradual shift toward targeted monetary support, including higher allocations for Takaful and Karama. Officials are aiming for a deficit of 4.9%, down from 7.3% this year, though sources expect the final figure may come in slightly higher while remaining below current levels.<\/p>\n

^^ Read more details on this story in tomorrow\u2019s edition of EnterpriseAM.<\/p>\n

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THE BIG STORY ABROAD-<\/p>\n

\ud83c\udf10 Three days after the Supreme Court declared US President Donald Trump\u2019s tariffs illegal<\/strong>, the US Customs and Border Protection agency said it will stop collecting tariffs imposed under the International Emergency Economic Powers Act. European officials warned the tariff hike would put EU-US trade agreements from last year at risk. The European Commission \u2014 the trade policy negotiator for 27 EU member states \u2014 demanded that the White House give \u201cfull clarity\u201d on the practical implications of the new tariff policy for their respective trade pacts. The UK currently faces trade-weighted tariffs that are 2.1% higher, while the EU sees a 0.8-point increase.<\/p>\n

Tariff-imposed global uncertainty has led the USD to drop 0.3% against its peers in early Monday trading<\/strong>, while gold prices rose 0.6%. BTC dropped by as much as 5% to below USD 65k this morning. Tech stocks were the most affected, sliding 0.9% in sub-index tracking.<\/p>\n

^^Read more on Reuters<\/a>, the Financial Times<\/a>, and CNBC here<\/a> and here<\/a>.<\/p>\n

MEANWHILE-<\/strong> Following the killing of Mexican drug lord Nemesio Oseguara \u2014 aka El Mencho \u2014 in a military raid on Sunday, violent protests erupted across Mexico, with 250 blockades reported in 20 states. The White House revealed that the US provided intelligence support for the operation.<\/p>\n

^^Read more on CNN<\/a> and Reuters<\/a>.<\/p>\n

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