CAIRO: The Ministry of Investment will pump 64 billion EGP into two stimulus packages for the Egyptian economy to flourish investment and boost Egypt’s revenues in the upcoming period, Minister of Investments Ashraf Salman said.
“A tangible part of these stimulus packages will be directed to restructure 124 public sector companies,” he said. The ministry will start assessing the financial status of the companies for six weeks in September.
The assessment will be followed by pumping new financial allocations to boost company production, increase production lines, and create new job opportunities.
Besides restructuring public sector companies, the ministry will encourage investment in the energy sector through the stimulus packages, Salman said, which needs more than $30 billion in new investments.
The Ministry of Planning is studying using the Long Live Egypt fund revenues to pump new economic stimulus package, head of the Regional Planning and Local Development at the ministry told al-Maal June 26.
The Egyptian government invested 60 billion EGP into two stimulus packages as part of a long-term development plan to achieve sustainable development, boost Egypt’s infrastructure, and achieve social equity, Minister of Planning Ashraf Al-Araby said on June 9. The first stimulus package was offered in October 2013 and the other in January 2014.
Over the scheduled 62.2 billion EGP of governmental investments in fiscal year of 2014-15, the government will provide 50 billion EGP while the remaining 12.2 billion will be for the public sector fund, Araby said.
The first stimulus package of 29.7 billion EGP was invested to deliver natural gas to 800,000 housing units, launch 115 sewage projects, implement 175 water projects, develop 27 railway crossings and bridges, finish the second stage of the subway metro, connect facilities to 35 industrial regions, reclaim 32,000 acres, fix electricity stations, develop health services, and develop 59 hospitals in governorates, Al-Ahram Digital reported.
The second stimulus package of 30 billion EGP was invested to develop infrastructure, apply minimum wage rates, and achieve sustainable development.