We just took our first step towards reforming our economy by cutting down on subsidies previously allocated to electricity and fuel.
This step makes EGP 51 billion available to state budget, 22 billion of which are to be allocated to education and health sectors, while EGP 10 billion will cover the newly adopted minimum wages.
Economists point out that rationalising subsidy is a positive step towards recovery of our exhausted economy, and is our route towards exiting from the current financial crises. Others point out that the new decrees will have a positive impact not only on investments but on various other aspects of the economy .They further add that these decrees arc essential to remedy the hug deficit in the state budget.
However, for us to take the next step the people of Egypt must endure the road to recover, and most importantly trust that the steps undertaken by the state arc the only route towards adjusting our economic and financial performance. They must have patience and accept other decrees that are to follow, and which might be tough chemotherapy. Measures undertaken, as well as those that are to follow are inevitable to sustain an economy that’s on artificial respiration. An economy that needs to be saved for the future generations at a time when economy echoes; investments, jobs, security and stability.
