Egypt’s Minister of Planning and Economic Development participates in the Arab International Banking Summit entitled "Responding to Global Shocks and Managing Uncertainty"

H.E. Dr. Hala El-Said, Minister of Planning and Economic Development, participated today, via video conference, in the Arab International Banking Summit under the title "Responding to Global Shocks and Managing Uncertainty", held in Frankfurt, Germany, under the auspices of German Federal Minister of Finance Christian Lindner.

El-Said said that the current economic crisis is the worst crisis the entire world has witnessed since the 1920s, as the world has not witnessed a similar crisis since then.
 El-Said explained that the losses of the current crisis around the world are estimated at nearly $12 trillion of total global product, and global growth is expected to slow from 6.1% in 2021 to 3.6% in 2022 and 2023.
El-Said added that the best way to realize the economic impact of geopolitical tensions is what economists call a "supply shock", which is the shock that pushes inflation up as well.
She added that for 2022, inflation is expected to reach 5.7% in advanced economies and 8.7% in emerging markets and developing economies; 1.8 and 2.8 percentage points higher than expected in January 2022.




El-Said pointed out that the extent of the high inflation rates and the slowdown in growth will depend on the willingness to respond and participate in the reconstruction, adding that the geopolitical turmoil highlighted the deep strategic weaknesses in trade and security relations.
El-Said stressed the need to address the prevailing financing challenges that hinder investment in recovery and the achievement of sustainable development goals at the global level.
She added that the total global government spending on sectors related to the sustainable development goals amounted to nearly $21 trillion at the end of 2019, and between $3.3 and $7 trillion in developing countries, in addition to an increase of $2.5 trillion in 2020, as a result of the impact of the Corona pandemic.
El-Said explained that the Egyptian government launched the first phase of the economic and social reform program, which aims to achieve macroeconomic stability and enhance competitiveness, stressing that legislative and institutional reforms provided an appropriate political framework to address the new challenges.
El-Said added that Egypt has had ambitious goals since the launch of the Sustainable Development Strategy: Egypt Vision 2030 in 2016.
 El-Said stressed that the state has embarked on ensuring a better life for citizens, by strengthening infrastructure, improving education and health care services, creating job opportunities, and empowering women economically.
El-Said added that over the past eight years, Egypt has increased its public investments by  EGP 3.6 trillion Egyptian, at a rate of $ 231 billion.






 El-Said added that within the framework of Egypt's Vision 2030, the initiative for a decent life comes as one of the main development projects, which is the national project for the development of Egyptian rural areas, which aims to improve the quality of life of citizens in rural communities.
El-Said affirmed the government's keenness to focus on social protection and human development while contributing to facing long-term challenges that pose threats to stability, such as mitigating and adapting to climate change.
 El-Said referred to the measures taken by the Egyptian government, including food security and social and financial measures, in response to recent global developments, to alleviate inflationary pressures on the most vulnerable sectors and enhance the economy's ability to withstand long-term repercussions.
El-Said touched on what Egypt has achieved, pointing out that it achieved an economic growth rate of 3.3% in 2021, 9% in the first half of the fiscal year 2021/2022, and 7.8% in the third quarter of 2021/2022, in the addition to reaching a 7.4% unemployment rate.

 El-Said explained that these indicators reflect the strong return after the epidemic, and prompted a review of the initial growth forecasts for the fiscal year 2021/2022, which exceed 6%.
El-Said indicated Egypt's aspiration to increase foreign investments and empower the private sector in attractive sectors such as renewable energy, water desalination, medicine, information and communication technology, and agricultural industries.
 El-Said stressed that the Egyptian government is keen to create an environment conducive to investment that encourages the business community to develop sustainability, maximize exports, and enhance global competitiveness.
El-Said added that the Egyptian government prioritizes the role of the private sector in stimulating growth through various policies and initiatives, noting that the Prime Minister launched a state ownership policy that draws a road map to expand the role of the private sector.