Egyptian Finance Minister Mohamed Maait said that the primary budget surplus amounted to EGP 100 million ($6.39 million) in the first quarter of the 2020/2021 fiscal year. The minister expected a decrease in revenue due to the coronavirus. Egypt trimmed the expected primary surplus to 1.4 per cent of GDP from 2 per cent in the fiscal year that ended in June. But the Egyptian economy expected a new decline to 0.5 per cent in 2021/2020 in a letter of intent to the International Monetary Fund in June. The corona pandemic is likely to reduce revenues and increase spending requirements.
Egypt has committed to prolonging the debt’s life under an agreement amounting to $5.2 billion it signed with the International Monetary Fund last June. Egypt’s fiscal year starts from the first of July until the end of June of the second year.