Hala Al-Saeed, Minister of Planning and Economic Development, discussed the main features of the 2021-2022 plan of the medium-term sustainable development plan “2019/2018 – 2022/2021” at the Senate Financial, Economic and Investment Affairs Committee.
The Minister of Planning spoke about the development of growth rates, pointing to the starting stage from 2005-2006 to 2008-2009, confirming that good growth rates were achieved in that period, after which it decreased following the global financial crisis in 2008.
She said that the political and security developments in 2010-2011 led to a decrease in the growth rate to 1.8% to begin the consolidation phase of the state in the period between 2015 to 2016-2017 and then the economic reform program in 2016 until the growth rate reached 5.6%. The decline in the growth rate to 3.6% last year.
On the main targets of the development plan 2021-2022, Al-Saeed added that it is expected to reach a growth rate of 2.8% in the current fiscal year, and the target for next year is to achieve a growth rate of 5.4%, and the target is to achieve an inflation rate of 5.6% in the current year and 6% in the next fiscal year.
Regarding unemployment rates, Al-Saeed explained that it is expected that the current fiscal year will end with an average of 7.5%, the unemployment rate, and the target for a gradual decrease to reach 7.3% in the next fiscal year, with poverty rates reduced to 28.5% within the framework of increasing the volume of investments in the 2021-2022 plan, and there are expectations By decreasing the poverty rate 1: 1.5 points annually in the coming years.
Al-Saeed emphasized that there is an increase in the volume of non-oil merchandise exports by about 10% to reach 19.5 billion dollars within the framework of starting the structural reforms program, while continuing to increase the remittances of Egyptians abroad to 7% to reach 30 billion dollars in 2021-2022, as it reached in 2021-2022. The plan for this fiscal year is 28 billion dollars.
Al-Saeed added that with the start of the gradual recovery of the tourism sector, it is expected that we will reach 6 billion dollars in tourism income in 2021-2022, and 6 billion dollars for the Suez Canal, in addition to increasing foreign investment rates to 7.4 billion dollars in the year of the 2021-2022 plan.
On economic growth rates and sectoral contributions, Al-Saeed explained that the target of the plan is consistent with the estimates of international institutions, as the International Monetary Fund expects a growth rate of 5.5% in 2021-2022, and 2.8% in the current fiscal year.
Al-Saeed continued talking about the expectations of international institutions, pointing to the World Bank’s expectations of a 5.8% growth rate, in addition to Fitch’s expectations of 6% and The Economist’s expectations of 1% in 2021-2022.
The article, Minister of Planning: The $ 6 billion tourism revenue expected for next fiscal year was written in the Al-Borsa newspaper.