Egypt is prepared for all scenarios: Cabinet spokesperson

Egypt Independent

6 days ago

The Egyptian Cabinet's spokesperson Mohamed al-Homsany said that the government is closely monitoring regional developments, especially in light of the recent US strikes on Iran, and is working to study all possible scenarios to minimize the impact on the Egyptian economy.
During a Sunday telephone interview with the Extra News channel, Homsany explained that the Crisis Management Committee reviewed several potential economic challenges, including rising oil prices, increased shipping and insurance costs, and the potential impact on supply chains.
These risks are not limited to Egypt, he said, but are faced by most countries around the world and therefore requires readiness to mitigate their repercussions on the Egyptian economy.
Regarding basic commodities, Homsany assured that the strategic stock of food commodities is safe and secure, sufficient for several months, with some commodities having a stockpile exceeding six months.
'This stockpile was established last year under the direction of President Sisi, in anticipation of any regional developments, and we have succeeded in securing it in a manner that ensures citizens' needs are met for the long term.'
Each ministry is developing detailed plans to address various scenarios, he emphasized, including the availability of petroleum and natural gas, the continuity of food supply chains, and the provision of essential goods even if the crisis extends for a long period.
The Cabinet spokesperson further confirmed that the state has been working for months to ensure energy security, by equipping and connecting three liquefied natural gas (LNG) vessels to the national natural gas grid, and the arrival of a fourth vessel soon to enhance the capacity to import LNG, and modernizing the energy sector's infrastructure.
Homsany added that 'The current plan was prepared in advance to meet summer needs, and according to the Prime Minister's statements, electricity needs during the summer are fully secured and there are no concerns about power outages.'
The monetary policy adopted by the Central Bank of Egypt relies on a flexible exchange rate system, he noted, which allows for a natural balance in the market between ups and downs.
He explained: 'The monetary policy has succeeded in eliminating the parallel market and providing the full need for foreign currency, as our foreign exchange resources have become consistent with our needs for the third consecutive month.'
Edited translation from Al-Masry Al-Youm