The size of government debt in Egypt decreased to the equivalent of 78% of GDP at the end of last December, compared to 83.8% at the end of June 2025.
The Egyptian Ministry of Finance explained that the state treasury received an amount of 3.5 billion US dollars, which is the value of the “Alam Al-Rum” deal last January, and it was completely allocated to reduce the size of the public debt.
However, according to its monthly report, the Ministry of Finance expects public debt to increase to 81.8% of GDP by next June.
The Ministry of Finance estimated the size of Egypt’s financing needs during the first half of this year at approximately 6.3 trillion Egyptian pounds, which is equivalent to 30.4% of the gross domestic product.
These financing needs include an amount of 5.73 trillion pounds to refinance debts, most of which are local debts, in addition to 572 billion pounds, representing the expected deficit in the state budget.
The Ministry of Finance intends to cover between 70% and 73% of these needs by issuing treasury bills, about 17% to 20% through treasury bonds, 6% to 7% through other securities issued by the treasury, and between 3% and 4% through treasury bills denominated in US dollars.
The Ministry of Finance plans to provide between 4% and 6% through external financing, especially soft financing, and between 1% and 4% from non-tax revenues, such as the “Alam Al-Rum” deal. (Arabic)
