Egypt is targeting a budget deficit of 6.5 percent of GDP in the fiscal year 2021/2022, up from the current 2020/2021 fiscal year's target of 6.3 percent, the finance ministry stated in its budget draft for the next fiscal year.
In the past 2019/2020 fiscal year, Egypt's budget deficit stood at 7.9 percent of GDP.
The budget draft for the fiscal year 2021/2022 projects sovereign debt to rise to 88 percent of GDP, compared with the 83 percent projected for the current fiscal year.
In the fiscal year 2019/2020, the country's debt-to-GDP ratio came in at 87 percent.
The government expects the average interest rate on government debt instruments in the coming fiscal year to stand at 13 percent, slightly less than the 13.5 percent projected for the current fiscal year 2020/2021.
In the previous fiscal year, the average interest rate on government debt instruments was 14.8 percent.