EGYPT – Egypt’s Gross Domestic Product (GDP) has achieved growth of 5.6 percent during the first half of the 2019/2020 fiscal year, Egypt’s Minister of Planning and Economic Development Hala al-Saeed has revealed.
The minister revealed his country’s impressive economic performance during a ministerial meeting that was convened by the Prime Minister to discuss economic and social issues affecting the country.
The industrial sector came in second with a contribution of 12.6 percent, while the agriculture, forestry and fishing sectors contributed 12 percent to the country’s overall growth.
Saeed said that workers in the wholesale and trade sectors increased by 358,000 while those in the industry sector increased by 426,000.
He also noted that annual inflation rates declined to 6.8 percent in January 2020, while monthly rates declined to 0.8 percent while those in the food and beverage sector reduced inflation rates by 2.1 percent in January 2020, compared to December 2019.
Saeed also noted that the value of foreign exchange sources amounted to US$ 21.9 billion during the first quarter of the 2019/2020 fiscal year, with export earnings representing the largest share of foreign currency at 32 percent, followed by remittances at 31 percent.
The value of imports, meanwhile, decreased by 4.2 percent, from $US 16.6 billion during the first quarter of 2018/2019 fiscal year to US$15.9 billion during the first quarter of 2019/2020 fiscal year.
The trade balance however, improved after the deficit decreased from $US 9.8 billion during the first quarter of 2018/2019 fiscal year to $US8.8 billion during the first quarter of 2019/2020.
The tough economic reform program also included measures to loosen capital controls, end energy subsidies, reform public enterprises and overhaul monetary policy, and initially caused inflation to spike to 33 percent.
In November 2019, however, the measures started bearing fruits with inflation in the country reaching its lowest level in years.