Cairo: President Abdel Fattah El Sisi has emphasized the necessity of bolstering financial discipline in government operations to advance the Egyptian economy's performance and support developmental endeavors. He advocated for effective collaborations between government entities and the business sector while adopting a balanced fiscal strategy to foster growth and sustain financial stability, with a focus on minimizing debt service rates and burdens.

According to State Information Service Egypt, President Sisi's comments came during a meeting with Prime Minister Moustafa Madbouli and Minister of Finance Ahmed Kouchouk. Presidential Spokesman Mohamed el Shennawy noted that the President evaluated the preliminary fiscal performance indicators for the 2024/2025 fiscal year, which exhibited a strong and balanced performance. The primary surplus was recorded at EGP 629 billion, representing 3.6% of GDP, marking an 80% rise from the previous fiscal year's surplus of EGP 350 billion.

Minister Kouchouk highlighted that the financial performance was achieved despite significant external shocks, including a 60% decline in Suez Canal revenues, leading to an estimated EGP 145 billion shortfall against the budgeted target. The Minister attributed the financial success to an uptick in private investments, manufacturing, and exports.

The meeting further explored the financial outcomes of 2024/2025, revealing substantial growth in tax revenues-the highest in recent years at 35%. This was attributed to tax incentives, base expansion, and increased trust and facilitation with the business community. Revenue growth was 29%, while primary expenditures rose by 16.3%, with tax revenues reaching EGP 2,204 billion, a 35.3% increase over the previous year.

Kouchouk detailed efforts to broaden the tax base, attract new financiers, and resolve disputes amicably, alongside technological advancements and e-commerce development. Improvements in the Tax Authority's administrative and regulatory processes, VAT refund procedures, and tax services were also highlighted.

Significant results from implementing the tax concessions package were noted, including 401,929 applications to resolve old tax disputes and over 650,000 amended or new voluntary tax returns, yielding EGP 77.90 billion. Additionally, 104,129 financiers applied for tax incentives for small projects under Law No. 6 of 2025.

The state allocated budgets for over 80,000 critical medical cases and covered Universal Health Insurance subscriptions for those in need, totaling approximately EGP 2.3 billion. In education, EGP 4 billion was spent to recruit 160,000 teachers, and EGP 6.25 billion was dedicated to school feeding programs.

President Sisi directed continued efforts to achieve a primary surplus and increase spending on social protection programs, Takaful and Karama initiatives, and the health and education sectors to ease citizens' burdens and promote social equity.