Latest news with #macroeconomicstability
Zawya
2 days ago
- Business
- Zawya
Egypt details economic strategy, private sector empowerment to Goldman Sachs
Egypt's Minister of Planning, Economic Development and International Cooperation, Rania Al-Mashat, has outlined the country's economic reform progress and government efforts to empower the private sector and increase investment during a meeting with a Goldman Sachs delegation. The delegation included Farouk Soussa, Chief Economist at Goldman Sachs International Financial Institution, and other bank officials. The meeting reviewed key developments in the Egyptian economy and state initiatives aimed at improving the business environment and creating an investment climate attractive to local and foreign investors, thereby enhancing macroeconomic stability. Al-Mashat emphasised that strengthening macroeconomic stability has been a governmental priority since the inception of the economic reform programme, aiming to boost confidence and credibility in the Egyptian economy. 'Maintaining macroeconomic stability is a priority through continuous structural reforms,' Al-Mashat stated. The minister highlighted that current government priorities include sustaining macroeconomic stability and implementing the national programme for structural reforms. This programme is centred on three main pillars: promoting the resilience and stability of the macroeconomy, improving the business environment and investment climate, and advancing the transition to a green economy. Within this framework, Al-Mashat noted that various national entities are implementing numerous measures and policies to enhance public finance discipline and reduce burdens on investors. She mentioned that, for the first time, the state is working to consolidate all fees borne by investors into a single framework, following directives from President Abdel Fattah Al-Sisi. Furthermore, the government has established a national committee focused on the World Bank's Business Ready (B-Ready) report, which will measure and monitor regulations to improve the business environment and support the competitiveness of the Egyptian economy. Al-Mashat also referred to ongoing procedures to promote the transition to a green economy. The minister elaborated on the national strategy for economic development, affirming the state's determination to shift the Egyptian economic growth model towards one based on tradable and export-oriented sectors. 'We are working to elevate the Egyptian economic model to achieve investment and production-driven growth,' she said. Al-Mashat pointed to positive developments in the first half of the current fiscal year, which demonstrated positive growth with a qualitative change, led by the non-petroleum manufacturing sector, tourism, transport and storage, and information and communications technology. This occurred despite regional and global geopolitical tensions. Reviewing relationships with international institutions and development partners, Al-Mashat highlighted their role in driving finance for development, particularly for the private sector. She noted a positive change in the volume of financing alongside economic and structural reform measures, which contributed to an increase in such financing to approximately $4.2bn by the end of last year, surpassing government financing for the first time. The minister also outlined ongoing negotiations with the European Union to implement the second phase of the macroeconomic assistance mechanism and budget support, valued at €4bn. Al-Mashat addressed state measures to empower the private sector and create space for local and foreign investments through the implementation of the State Ownership Policy Document. She explained that the state is focusing on three pillars in this regard. The first is the sovereign fund, which aims to increase returns on assets and maximise their utilisation for future generations. This works alongside the government offerings unit at the Cabinet. The second element involves 'issuing the State-Owned Companies Law to maximize returns on assets and open up space for the private sector,' as Al-Mashat put it. She clarified that this law, currently under debate, concerns the management of or participation in state-owned companies and will enable the establishment of a unit to inventory and monitor these companies. This unit will undertake tasks including determining optimal methodologies for dealing with these companies to enhance private sector empowerment efforts. The third pillar involves partnerships, such as the one with the International Finance Corporation (IFC), which provides advisory services to strengthen public-private partnerships (PPP) in the airport sector. This aims to improve infrastructure, connectivity, and passenger services. © 2024 Daily News Egypt. Provided by SyndiGate Media Inc. (
Zawya
3 days ago
- Business
- Zawya
Minister of Planning, Economic Development Meets Goldman Sachs Delegation to Review Progress in the Egyptian Economy and Government Efforts to Empower the Private Sector and Increase Investment
H.E. Dr. Rania A. Al-Mashat, Minister of Planning, Economic Development and International Cooperation, met with H.E. Mr. Farouk Soussa, Chief Economist at Goldman Sachs International Financial Institution, and a number of bank officials. The meeting reviewed key developments in the Egyptian economy and the state's efforts to improve the business environment and create an investment climate to attract local and foreign investments and enhance macroeconomic stability. During the meeting, H.E. Dr. Rania Al-Mashat emphasized that since the beginning of the economic reform program, the government has prioritized strengthening macroeconomic stability, to boost confidence and credibility in the Egyptian economy. H.E. Minister Al-Mashat pointed out that the government's priorities include maintaining macroeconomic stability and implementing the national program for structural reforms. This program focuses on three key pillars: promoting the resilience and stability of the macroeconomy, improving the business environment and investment climate, and driving the transition to a green economy. H.E. Dr. Al-Mashat noted that within the framework of the program, varous national entities are implementing dozens of measures and policies that enhance public finance discipline and reduce burdens on investors. For the first time, the state is working to consolidate all fees borne by investors to unify them into a single framework, following the directives from H.E. President Abdel Fattah El-Sisi. The government has also formed a national committee concerned with the Business Ready (B-Ready) report, issued by the World Bank, which will measure and monitor the regulations to improve the business environment and support the competitiveness of the Egyptian economy, and referred to the ongoing procedures to promote the transition to a green economy. H.E. Dr. Al-Mashat highlighted the national narrative for economic development and the state's determination to transform the Egyptian economic growth model to be based on tradable and export-oriented sectors. She pointed to the positive developments in the first half of the current fiscal year, which showed positive growth with a change in the quality of growth, led by the non-petroleum manufacturing sector, tourism, transport and storage, and information and communications technology, despite geopolitical tensions in the region and the world. H.E. Minister Al-Mashat also reviewed the strong relationships with international institutions and development partners to drive finance for development, particularly for the private sector, and the positive change in the volume of financing alongside economic and structural reform measures. This contributed to an increase in financing to approximately $4.2 billion by the end of last year, exceeding government financing for the first time. She outlined the ongoing negotiations with the European Union to implement the second phase of the macroeconomic assistance mechanism and budget support worth €4 billion. H.E. Dr. Al-Mashat addressed the state's measures to empower the private sector and make room for local and foreign investments through the implementation of the State Ownership Policy Document. She highlighted that the state is working on three pillars in this context: first, the sovereign fund, which aims to increase returns on assets and maximize their utilization for future generations, alongside the government offerings unit at the Cabinet, as well as the currently debated law concerning the management of or participation in state-owned companies. This law will enable the establishment of a unit to inventory and monitor state-owned companies, which will undertake many tasks, including determining the best methodologies for dealing with companies to enhance private sector empowerment efforts. At the same time, she pointed to the partnership with the International Finance Corporation (IFC), which provides advisory services to strengthen public-private partnerships (PPP) in the airport sector, to improve infrastructure, connectivity, and passenger services. Distributed by APO Group on behalf of Ministry of Planning, Economic Development, and International Cooperation - Egypt.
Arab News
23-05-2025
- Business
- Arab News
Pakistan business confidence improves by 16% points, survey reveals
KARACHI: Business confidence has significantly improved among investors in Pakistan that is largely attributed to macroeconomic stability, declining inflation and anticipated improvements in business conditions over the next six months, a survey by Pakistan's Overseas Investors Chamber of Commerce and Industry (OICCI) revealed on Thursday. The Business Confidence Index (BCI) Survey – Wave 27, conducted across Pakistan in March-April 2025, shows the overall business confidence improved by 16 percentage points from negative 5 percent to positive 11 percent, compared to the previous Wave 26 survey in October-November 2024. The Manufacturing sector led the recovery, improving from negative 3 percent to positive 15 percent, followed by the Retail/Wholesale sector, which rose from negative 18 percent to positive 2 percent in the latest survey. The Services sector maintained a steady outlook and jumped from 2 percent to 10 percent positive. 'The uptick in business confidence is a clear sign that our economic direction is on the right track. We are focused on creating a conducive environment for investment, supporting private sector growth, and ensuring long-term macroeconomic resilience,' Finance Minister Muhammad Aurangzeb was quoted as saying by the OICCI. 'The improved sentiment among businesses is both encouraging and a validation of our collective efforts.' The development comes more than a week after the International Monetary Fund (IMF) approved a loan program review for Pakistan, unlocking a $1 billion payment which the State Bank of Pakistan said had been received. A fresh $1.4 billion loan was also approved under the IMF's climate resilience fund. Since averting a default in 2023, the South Asian country has been making rigorous efforts to boost its economy by offering various incentives to investors, particularly from abroad. Pakistan's stocks, which rose more than 80 percent last year, have largely resisted selling pressures in recent weeks, despite the country's conflict with India that saw the two sides strike each other with missiles, drones and artillery. Commenting on the survey's findings, OICCI President Yousaf Hussain said the overall business confidence had shown a notable improvement across the business community over the past two years. 'This sharp recovery in the Business Confidence in the latest Wave 27 reflects the resilience of Pakistan's business sector and its readiness to seize emerging growth opportunities,' he said. 'It is heartening to see positive momentum across key sectors, which reflects improved sentiment and growing trust in the country's economic direction.' Hussain said there must be greater policy consistency, transparency and active engagement with key stakeholders, including OICCI members, to maintain this growing positivity in the business confidence. The BCI Wave 27 survey revealed increased optimism for the next six months, with 45 percent of the respondents expressing positive expectations. 'Key contributors to this positive outlook include economic growth, improved government policies, investment climate,' the survey report read. 'Despite the positive trend, 53 percent of the survey respondents reported a negative outlook on business conditions over the past six months, which is a substantial improvement from 66 percent negative sentiments in Wave 26. The key concerns indicated in the survey related to political stability, Rupee FX parity, Energy, and trade policies.' The BCI of foreign investors, who OICCI members randomly selected for the survey, showed a remarkable increase from positive 6 percent to 17 percent, according to the findings. This improvement is primarily attributed to better global business climate, an improved industry environment in Pakistan over the past six months, and expectations of increased capital investment in the coming six months. 'The latest BCI Wave 27 results were better than anticipated, with positive expectations reflected across all major sectors. Employment prospects, expansion plans, and investment expectations demonstrated notable gains, particularly in the Manufacturing and Retail sectors,' OICCI Secretary-General Abdul Aleem said. 'Despite notable improvement on the overall BCI, the new investment plans overall showed an improvement of 19 percent, but remained negative, which is an area of concern and needs to be addressed to further accelerate economic growth, energize large-scale manufacturing, trade and export.'
Zawya
19-05-2025
- Business
- Zawya
CBE Governor meets IMF official to review progress on Egypt's economic reforms
Egypt - Hassan Abdallah, Governor of the Central Bank of Egypt (CBE), met with Nigel Clarke, Deputy Managing Director of the International Monetary Fund (IMF), during Clarke's official visit to Cairo. The meeting, held at the CBE headquarters, focused on reviewing the latest developments in Egypt's ongoing economic reform programme, implemented in collaboration with the IMF. The discussions were attended by key officials, including Mohamed Maait, Executive Director and IMF Executive Board member representing the Arab Group and Maldives; CBE Deputy Governors Rami Abouelnaga and Tarek El-Khouly; Assistant Governor Mohamed Abo Moussa; and senior IMF representatives, including Talin Kouranchelian, Deputy Director for the Middle East and Central Asia; Ivana Vladkova Hollar, Head of the IMF Mission to Egypt; and Alex Segura-Ubiergo, IMF Resident Representative in Egypt. During the meeting, both sides acknowledged the positive trajectory of Egypt's economic indicators, emphasizing the impact of ongoing reform efforts in stabilizing the economy, enhancing growth, and improving the investment climate. The discussions highlighted increased foreign currency inflows, particularly from remittances, as well as coordinated efforts between the CBE and the government to curb inflation and sustain its downward trend. The meeting reflects continued cooperation between Egypt and the IMF as the country moves forward with its reform agenda aimed at achieving macroeconomic stability and long-term growth.
