CAIRO — There is official acknowledgement about improving political performance and strong indicators pointing to an end to the economic crisis that Egypt has endured since the political turmoil of the 2011 revolution. Despite this positive outlook, the ongoing general budget deficit will likely force the government to adopt austerity measures.
Following intensified government meetings during May and June, the Egyptian Council of Ministers ratified the final budget July 1. The expected deficit was of 9.9% of the gross domestic product, or 251 billion Egyptian pounds ($31 billion). The initial expected deficit — which Egyptian President Abdel Fattah al-Sisi lobbied against — was 281 billion pounds ($36 billion). Attempts were made to cut the amount down to 30 billion pounds ($3.8 billion).
