CAIRO: The World Bank (WB) expected Egypt’s growth rate to reach 3.3 percent in 2016/2017 fiscal year, according to the WB’s June 2016 Global Economic Prospects.
The growth rate prospect has been declined by 0.5 percent as the WB’s January 2016 report has expected the growth rate in FY 2016/2017 to reach 3.8 percent.
The bank’s report also forecast that growth rate in FY 2017/2018 may rise to 4.2 percent; a 0.2 percent decline from January speculations.
The Egyptian government has announced that it planned to reach 5.5 and 6 percent increases in the growth rate in FY 2016/2017 and FY 2017/2018 respectively.
The report attributed the decline to the low levels of foreign exchange reserves that pushed the Egyptian central bank to devalue the currency in March, high inflation, and the high public debt.
Egypt’s central bank has announced Thursday that the public debt has increased to 2.5 trillion EGP ($218.4 billion) in March 2016, compared with one trillion EGP ($112.9 billion) in March 2015.