Egypt
Macroeconomic indicators have improved significantly over the past two years thanks to a bold reform programme. However, structural challenges related to a high level of state presence in the economy are keeping medium-term growth subdued, while the fiscal position remains heavily burdened by high domestic public debt levels.
Macroeconomic imbalances continue to improve across the board as the IMF programme nears an end. Economic growth is forecast to accelerate slightly this fiscal year thanks to continued growth in investments and exports, while the twin deficits are set to narrow in 2019. However, there are growing concerns regarding weak consumption and a still-stringent business environment. Moreover, subdued FDI inflows and risks to the current account deficit will keep Egypt reliant on external debt for years to come. On the political front, risk is still largely driven by economic hardship and acts of terrorism. Recent attacks in tourist areas like Giza, in December 2018 and May, are particularly worrying for the economy as tourist numbers were recovering from their lows. Demographic pressures and weak institutions mean political risk will remain elevated over the medium term. (Source: Egypt Annual Country Profile, published May 2019.)
Macroeconomic Data
(2018)
|
Fiscal Balance (as a % of GDP) |
-9.5 |
|
Consumer Price Index (% change y-o-y, avg) |
14.4 |
|
Current Account Balance (as a % of GDP) |
-2.2 |
|
Real GDP (annual % change) |
5.3 |
|
GDP per Capita, US$ |
2,786.5 |
|
Import Cover (months) |
6.4 |
|
Population, million |
99.3 |
| Total External Debt (as a % of GDP) |
34.9 |