Minister of Finance Mohamed Maait has confirmed that the state’s public treasury has paid EGP 420.5bn to the National Authority for Social Insurance within 30 months of signing an agreement to resolve entanglements with the Ministry of Social Solidarity.
This was to pay the dues of insurances that had accumulated over half a century in light of the Social Insurance and Pensions Law No. 148 of 2019, ensuring the provision of the necessary financial liquidity to serve pensioners, their beneficiaries, and the insured, as well as fulfilling all obligations towards them.
Maait said in a statement issued by the Ministry of Finance today that the ministry will continue to pay its financial dues to the National Authority for Social Insurance. Total of EGP 180bn has been allocated during the current fiscal year within the agreement to resolve entanglements and, by the end of next June, EGP 510.5bn will have been paid within 36 months to the authority.
He pointed out that the percentage increase in the annual premium for settling entanglements — transferred from the state’s public treasury to the benefit of the National Authority for Social Insurance — was amended to 5.9% instead of 5.7% to accommodate the measures taken by the state to improve the living conditions of pensioners.
He pointed out that the total amount paid by the state’s public treasury to the National Organisation for Social Insurance during the 7 years since the signing of the agreement to resolve entanglements as of 1 July 2019 was approximately EGP 363trn.
He explained that the state’s public treasury will pay about EGP 45trn to the National Authority for Social Insurance over 50 years, which is the term of the agreement to resolve the entanglements, as of 2019.
