Latest news with #NationalStructuralReformsProgram
See - Sada Elbalad
5 days ago
- Business
- See - Sada Elbalad
Discover Fastest-Growing Sectors During the 3rd Quarter of Current Fiscal Year
Ahmed Emam The Ministry of Planning, Economic Development and International Cooperation announced an increase in Egypt's Gross Domestic Product (GDP) growth rate during the third quarter of fiscal year 2024/2025, reaching 4.77%. This compares to a growth rate of 2.2% in the corresponding quarter of the previous fiscal year, marking the highest quarterly growth rate achieved in three years. This performance contributes to raising the average growth rate during the first nine months of the current fiscal year to approximately 4.2%, compared to about 2.4% during the same period of the previous fiscal year. It also reflects a sustained recovery and increasing resilience of the economy in the face of global uncertainty. This growth occurred amid the government's continued implementation of its reform agenda, as part of the National Structural Reforms Program. This program is a fundamental factor in maintaining macroeconomic stability, improving the governance of public investments, and enhancing the economy's competitiveness by bolstering the private sector's role in various productive areas. The growth witnessed in the third quarter was evident in the continued recovery of the non-petroleum manufacturing sector, which achieved a growth rate of 16.03% during the third quarter of fiscal year 2024/2025 compared to the same period of the previous fiscal year, when the activity recorded a contraction of 3.96%. This notable growth in the third quarter coincides with the state's keenness to intensify investments in the industrial sector, as it is a priority sector in the National Structural Reforms Program. Non-petroleum manufacturing activity was the largest contributor to GDP growth during the quarter, with its contribution reaching 1.9 percentage points out of the total growth of 4.77%. The growth in industrial activity resulted from an increase in industrial production, which was clearly reflected in the growth of the Manufacturing Production Index (excluding crude oil and petroleum products), averaging 16.03% during the third quarter of fiscal year 2024/2025. Industries such as automobiles, ready-made garments, beverages, paper manufacturing, and textiles achieved growth rates of 93%, 58%, 34%, 20%, and 17% respectively. Several other economic activities achieved positive growth rates during the third quarter of fiscal year 2024/2025. In this regard, tourism (restaurants and hotels) activity recorded a growth of 23%, with the number of tourists increasing to 3.94 million during the third quarter of the current fiscal year, compared to 3.79 million tourists in the corresponding quarter of the previous fiscal year. The number of tourist nights also rose to 40.97 million nights compared to 33.17 million nights in the corresponding quarter of the fiscal year. Furthermore, the communications and information technology sector achieved a growth rate of 14.7% during the third quarter of fiscal year 2024/2025. This coincided with the launch of the Wi-Fi Calling service in January 2025 to enhance call quality in areas with weak coverage, as well as the construction of over 3,000 mobile towers during 2024, as part of a plan targeting coverage of all highways and "Haya Karima" initiative villages by mid-year. Digital financial services also saw significant expansion; the number of e-wallets increased by 31% during the third quarter of 2024/2025 compared to the corresponding quarter of 2023/2024, reaching 43.7 million wallets. The number of financial transactions executed through them increased by 61%, and the total value of these transactions rose by 63% to record EGP 859.2 billion. On the other hand, some other sectors recorded negative growth rates during the third quarter of fiscal year 2024/2025. Among these activities is the Suez Canal activity, which contracted by 23.1%. However, this rate of contraction is decreasing compared to the corresponding quarter, when the activity contracted by 51.6% due to the onset of the crisis involving a decline in the number of ships passing through the Suez Canal. This was attributed to geopolitical tensions that have negatively impacted the canal's revenues so far. In this context, the Canal's revenues declined by 19% to $0.90 billion in the current quarter compared to approximately $1.1 billion in the corresponding quarter of the previous fiscal year. Similarly, the output of the extractive sector continued to decrease, contracting by 10.38% as a result of the contraction in both oil and natural gas activities during the third quarter of fiscal year 2024/2025. read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Videos & Features Tragedy Overshadows MC Alger Championship Celebration: One Fan Dead, 11 Injured After Stadium Fall Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War News Flights suspended at Port Sudan Airport after Drone Attacks Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream News Shell Unveils Cost-Cutting, LNG Growth Plan Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean Arts & Culture "6 Ayam" Sets Streaming Date
See - Sada Elbalad
7 days ago
- Business
- See - Sada Elbalad
Al-Mashat Supports OECD SME Report in Egypt
Israa Farhan As part of Egypt's ongoing collaboration with the Organisation for Economic Co-operation and Development (OECD), Dr. Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, hailed the launch of a new OECD report on SME and entrepreneurship policy in Egypt. This report was released as part of the Country Programme for cooperation between Egypt and the OECD. The report aims to provide a precise analytical vision of the opportunities and challenges facing SMEs and entrepreneurs in Egypt, in addition to offering a set of recommendations based on international standards and best practices from countries with successful experiences applicable in the Egyptian context. Al-Mashat, Minister of Planning, Economic Development and International Cooperation, explained that the report highlights the significant potential of the entrepreneurship, startup, SME, and micro-enterprise sectors in Egypt. It also reflects the government's efforts to transform into a competitive, innovation- and knowledge-based economy. Al-Mashat emphasized the importance of cooperation with the OECD within the framework of the Country Programme by preparing diagnostic reports that showcase the capabilities of the Egyptian economy and provide numerous recommendations that drive economic development. The minister commended the continued constructive cooperation within the framework of the Country Programme between Egypt and the OECD, which has been extended until 2025. This program serves as a fundamental pillar of joint cooperation, acting as a vital tool to integrate international expertise into Egypt's national development strategy, especially "Egypt Vision 2030" and the National Structural Reforms Program. The program includes 35 projects distributed across five main axes, designed through an extensive participatory process, reflecting Egypt's commitment to policy coherence and adopting reforms that align with the national reform agenda. Al-Mashat also pointed to the role played by the Ministerial Group for Entrepreneurship, in coordination with various relevant national authorities, to encourage an environment of innovation and entrepreneurship and support startups. This is achieved by studying various challenges facing the sector and working to overcome them. She noted that the Startup Charter has been finalized and will be launched soon, in addition to a package of anticipated facilities for the sector. In this context, Bassel Rahmy, CEO of the Micro, Small, and Medium Enterprises Development Agency (MSMEDA), stated that the report comes within the framework of Egypt's Country Programme, which is conducted under the patronage of the Ministry of Planning, Economic Development and International Cooperation, in coordination with MSMEDA and in cooperation with the OECD. This initiative aims to implement the entrepreneurship and SME project, which includes preparing a report on "Review of SME and Entrepreneurship Policy Frameworks in Egypt, with a focus on two axes: financial and technological services and digital transformation." This was done in consultation and partnership with relevant stakeholders. The report contained a detailed analysis of the current performance of projects and key national initiatives, in addition to analyzing sectoral gaps and formulating and presenting recommendations that would develop and enhance the project and entrepreneurship sector according to international best practices. The report indicated the importance of the project sector in Egypt, as it represents 90% of the activities of the Egyptian economy. Rahmy pointed out that MSMEDA, in cooperation with the Ministry of Planning, Economic Development, and International Cooperation, seeks to update the National Strategy for Micro, Small, and Medium Enterprises and Entrepreneurship. This strategy will activate the recommendations included in the report and put them into effect in coordination and partnership with all local and international development partners. The report indicated that Egypt, as the most populous country in the Middle East and North Africa (with over 110 million people), possesses a vast market and significant entrepreneurial potential. It also noted that the Egyptian economy, despite global challenges, has been among the fastest-growing in the region over the past five years. The report clarified that Egypt Vision 2030 gives special attention to the development of SMEs and innovative startups, and to enhancing the role of the private sector. This aligns with global trends towards a knowledge-based, innovation-driven, and entrepreneurial economy. The report also outlined the significant potential of the SME sector in Egypt, as it represents more than 90% of economic activity in Egypt, with the majority of projects concentrated in the trade and services sectors. It underscored that despite the high number of public startups in entrepreneurship, there is a gap that needs to be addressed by encouraging innovation, increasing productivity, and transitioning from the informal to the formal sector. The report added that despite significant investments in education and scientific research, and a boom in venture capital, some challenges still face small businesses. It emphasized the importance of continuing recent efforts to simplify procedures, improve the business climate, and enhance competition. The report also touched on the launch of the Ministerial Group for Entrepreneurship, which coordinates government efforts in implementing policies supporting startups, helping them access international markets, and linking the innovative solutions offered by these companies to sectoral challenges. It also noted the coordinating role of MSMEDA among government entities for sector development. The report stressed the importance of elevating decentralization policies that consider geographical differences among governorates, by designing local programs that account for spatial disparities. It also praised the level of digital transformation in Egypt and recommended developing a national strategy for digitizing small businesses, including providing tax incentives and encouraging digital transformation. In the field of financial technology, the report called for establishing a tiered licensing system for fintech companies, expanding the base of digital payments, and integrating digital financing tools into general business policies. The report concluded with several key recommendations, including developing a comprehensive annual database on the performance and characteristics of small businesses and entrepreneurship, adopting an "SME impact test" before approving any new legislation, reviewing and simplifying old laws, establishing an independent mechanism to monitor the implementation of the SME law and prepare annual reports with the participation of relevant authorities, providing tax incentives for venture capital, developing a strategy for women's entrepreneurship in cooperation between MSMEDA and the National Council for Women, boosting the efficiency of incubators by setting national standards for accreditation and evaluation, and strengthening the role of the Credit Guarantee Company (CGC) and increasing its capital to expand the scope of guarantees granted to micro-enterprises. It is worth noting that Egypt recently assumed the co-chairmanship of the OECD's Middle East and North Africa (MENA) Initiative on Governance and Competitiveness for Development for the period 2026-2030, alongside Italy and Turkey. During her participation in the OECD Ministerial Council meetings in Paris earlier this June, H.E. Dr. Rania Al-Mashat met with Mr. Mathias Cormann, the OECD Secretary-General, to discuss ways to enhance cooperation between the two sides and follow up on the implementation of the Country Programme. read more Gold prices rise, 21 Karat at EGP 3685 NATO's Role in Israeli-Palestinian Conflict US Expresses 'Strong Opposition' to New Turkish Military Operation in Syria Shoukry Meets Director-General of FAO Lavrov: confrontation bet. nuclear powers must be avoided News Iran Summons French Ambassador over Foreign Minister Remarks News Aboul Gheit Condemns Israeli Escalation in West Bank News Greek PM: Athens Plays Key Role in Improving Energy Security in Region News One Person Injured in Explosion at Ukrainian Embassy in Madrid News China Launches Largest Ever Aircraft Carrier Sports Former Al Zamalek Player Ibrahim Shika Passes away after Long Battle with Cancer Videos & Features Tragedy Overshadows MC Alger Championship Celebration: One Fan Dead, 11 Injured After Stadium Fall Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt Business Fear & Greed Index Plummets to Lowest Level Ever Recorded amid Global Trade War Arts & Culture Zahi Hawass: Claims of Columns Beneath the Pyramid of Khafre Are Lies News Flights suspended at Port Sudan Airport after Drone Attacks Videos & Features Video: Trending Lifestyle TikToker Valeria Márquez Shot Dead during Live Stream News Shell Unveils Cost-Cutting, LNG Growth Plan Technology 50-Year Soviet Spacecraft 'Kosmos 482' Crashes into Indian Ocean
