In a roundtable discussion with African finance ministers during the IMF and World Bank Spring Meetings, Mohamed Maait, Egypt’s Minister of Finance, highlighted the decline in public health indicators across Africa. This downturn is attributed to global tensions and the resulting inflationary pressures, which have led to increased costs for basic goods and services, alongside funding and food shortages. Maait stressed the critical role of international financial institutions in offering innovative and accessible sustainable financing to bolster emerging economies. Such support is vital for enhancing healthcare quality in African nations and facilitating a transition to a green economy, leveraging clean energy sources like green hydrogen.
At the high-level meeting in Washington, Maait asserted that advanced nations collectively bear the responsibility of providing healthcare in Africa. This collaboration is pivotal for fostering recovery and sustainable growth, introducing cost-effective developmental resources, and devising creative investment strategies in health, education, and food security. He noted Egypt’s significant efforts to improve comprehensive health insurance systems and healthcare services for fellow African countries.
Maait called for coordinated action to tackle global economic challenges, proposing effective strategies to mitigate the impact of economic shocks on developing nations. Amidst global tensions that disrupt economic stability, developing countries’ budgets face extraordinary challenges, impeding their progress towards comprehensive and sustainable development. He advocated for the mobilization of affordable sustainable financing to reinforce public health systems in Africa, ensuring universal healthcare access and the provision of developmental resources at lower costs.
The Minister underscored the necessity of creating a sustainable framework to boost private sector involvement in Africa’s healthcare network expansion. This initiative aims to maintain high-quality healthcare services, reduce poverty and disease, and establish robust systems that offer comprehensive health coverage at equitable prices. Maait expressed Egypt’s willingness to share its comprehensive health insurance model with other African states, emphasizing the delivery of integrated healthcare to all Egyptian families and the inclusion of the private sector as a key stakeholder in this innovative system.
Private sector to spearhead growth
Maait reaffirmed Egypt’s commitment to bolstering the private sector’s role in the economy, with aspirations for it to contribute over 70% to the economic output. This initiative is part of a broader strategy to enhance local production and exports. The government has set a ceiling on public investments for the upcoming fiscal year, ensuring substantial opportunities for private sector growth, development, and the creation of one million jobs annually.
Speaking with regional governors at the IMF and World Bank Spring Meetings in Washington, Maait outlined Egypt’s comprehensive economic reform agenda, which includes a new wave of structural reforms aimed at fostering stability and economic growth. He cited the Raseel Hakama deal as evidence of Egypt’s appeal for investment, bolstered by strong infrastructure and competitive sectors.
The Finance Minister highlighted the government’s focus on fiscal discipline, targeting a primary surplus to reduce national debt and deficits amid falling interest rates. Plans are in place to use half of the proceeds from the offerings program to decrease the debt of budgetary authorities and to establish a public debt ceiling, while also extending the debt portfolio’s maturity.
Maait emphasized the importance of investing in human capital and social protection as cornerstones of Egypt’s economic policy. The government intends to dedicate substantial budgetary resources to health, education, and social protection, aiming to elevate living standards and reduce poverty through more focused support for key demographics.
