Elections for both chambers were scheduled for 2020. He expected that the new formation of the government would achieve the missing cooperation between its members, as this would be reflected in the increase in growth and development rates. Alibaba: Economic portal on the Middle East. For an overview of the tax measures that have been adopted, refer to the PWC website.For the general overview of the key economic policy responses to the COVID-19 outbreak (fiscal, monetary and macroeconomic) taken by the Egyptian government to limit the socio-economic impact of the COVID-19 pandemic, please consult the section dedicated to Egypt in the IMF’s Policy Tracker platform. For the up-to-date information on all the measures applicable to movement of goods during the period of sanitary emergency due to the COVID-19 outbreak (including eventual restrictions on imports and exports, if applicable), please consult the website of the Egyptian Customs Authority (in Arabic).For a general overview of trade restrictions due to COVID-19 pandemic, please consult the section dedicated to Egypt on the International Trade Centre's COVID-19 Temporary Trade Measures webpage. He added that Cairo had concluded an agreement with Tel Aviv whereby it would import the first of the latter natural gas, and continued, "In front of the many discoveries of gas fields, I expected to export gas surpluses, but the government demolished all expectations of the agreement to import gas from Israel.". In 2020, Egypt's economy was impacted by the COVID-19 pandemic, but proactive measures taken to address health and social needs and support the most directly affected sectors helped mitigate the economic and human impact of the crisis (IMF). For the information on the economic recovery scheme put in place by the local government to address the impact of the COVID-19 pandemic on the Egyptian economy, please visit the dedicated page on KPMG’s website as well as the website of the Central Bank of Egypt (in Arabic). That seemingly optimistic vision of the future of the economy is reversed by Mustafa Shaheen, professor of economics at American University of Oakland, who found several indications of economic suffering that Egyptians will experience during the year 2020. For information on the travel restrictions undertaken by the Egyptian government, please refer to the website of the US embassy in Egypt and to EgyptOnlineVisa.For the international outlook you can consult the latest travel updates available on the IATA website. Travel receipts fell by 54.9% between January and June 2020 (Central Bank of Egypt). Despite this slowdown, Egypt was one of the few countries with positive growth rate in 2020. On the monetary side, Abdel-Muttalib suggested reducing the interest rate and stabilizing the pound exchange rate against the dollar, ruling that the price would decrease below 15 pounds against the dollar. He explained that the central bank supported the appreciation of the pound against the dollar during the last months of the past year, adding that if this government-made rise continues, prices are likely to decrease, especially associated with imported goods. Egypt’s public prosecutor has cleared five policemen of responsibility in the 2016 murder of Italian student Giulio Regeni and said he will not pursue the case because the perpetrator is unknown. The same with the projects of the new administrative capital and the new city of El Alamein, as they are an attempt to absorb excess liquidity among citizens by purchasing housing units and lands. Source: The Economist - Business Environment Rankings 2014-2018. The sector has historically been important for Egypt, and it accounts for about 20% of total exports and foreign exchange earnings. For the latest economic outlook due to the Covid-19 pandemic, please consult the OECD Economic Outlook Interim Report Coronavirus (Covid-19): Living with uncertainty and the IMF's policy tracking platform Policy Responses to COVID-19 for the key economic responses from governments. IMF – World Economic Outlook Database, October 2020. Cairo - 18 December 2020: Egypt's House of Representatives refused in a statement, Friday the European Parliament’s resolution on the human rights situation in Egypt. Finally, a note and a position are assigned to each country. Political freedom in the world (interactive map) The former military spokesman for the armed forces, Brigadier General Mohamed Samir, did not expect that when he was writing an article criticising the political situation in Egypt, his words would drag him into woes at a time when no one is allowed to express his opinion, criticise a situation, or even warn of the danger the country is facing. In this, Al-Houfi mentioned Qatar Petroleum Company's announcement last November to operate a refinery project in Mostorod, north of Cairo. Source: Freedom in the World 2019, Freedom House. Political parties faced arbitrary restrictions on their work, such as organizing public events, and increasing arrests of their members. Economic policy will focus initially on mitigating the fallout of the coronavirus (Covid-19) pandemic, with fiscal consolidation delayed, but reforms will continue as part of an IMF programme. The amendments consolidate authoritarian rule, undermine the judiciary’s dwindling independence, and expand the military’s power to intervene in political life. The authorities continued to severely restrict human rights organizations’ and political parties’ freedom of association. In June 2020, Egypt adopted an economic reform program supported by a 12-month Stand-By Arrangement (SBA) with the IMF. The ratings process is based on a checklist of 10 political rights questions (on Electoral Process, Political Pluralism and Participation, Functioning of Government) and 15 civil liberties questions (on Freedom of Expression, Belief, Associational and Organizational Rights, Rule of Law, Personal Autonomy and Individual Rights). This program was designed to support the country in the context of the COVID-19 crisis. In turn, Dr. Jamal Heshmat, the former Undersecretary of the Foreign Relations Committee in Parliament, said that the political files witnessed a catastrophic failure and great deterioration due to the absence of real change, and the continued survival of what he described as the ruling gang exercising repression on citizens. In the past two decades, employment growth in Egypt has failed to keep up with the growth of the working age population. They featured low turnout, intimidation, and abuse of state resources. A country’s overall economic freedom score is a simple average of its scores on the 10 individual freedoms. restored some competition in the political arena, through introducting a new Constitution in 1971. The latest breaking news, comment and features from The Independent. The elections were initially expected to be held in April or May 2020. It includes every kind of direct attacks against journalists and digital citizens (murders, imprisonment, assault, threats, etc.) or against the media (censorship, confiscation, searches and harassment etc.). The main challenger was arrested, prompting other challengers to withdraw their campaign on possible grounds of intimidation. It should remain under control despite an expected increase to 6.2% in 2021 and 7.9% in 2022. Political Outline He expected the trade balance of fuel to continue to achieve a surplus due to an increase in exports of oil and its products, which could lead to a decrease in the trade balance deficit as a whole. Santander Trade offers a set-content, database and tools provided and managed by Export Entreprises S.A. Santander provides access to its client companies but is totally unrelated to the contents and services provided which are, fully, the responsibility of Export Entreprises S.A. The legislative power is bicameral since the constitutional referendum of 2019 was approved by the House of Representatives in June 2020. The current political system was established following the Egyptian Revolution of 2011 and the resignation of President Hosni Mubarak.In the current system, the President is elected for a six-year term, where they are able to appoint up to 5 percent of the parliament. Report It to Us. Zawya: website containing economic information on the Middle East. In 2020, the budget deficit increased slightly to -7.5% of GDP (from -7.2%), and is expected to widen to -8.5% in 2021 before decreasing again in 2022 (-5.7%) thanks to economic recovery. Egypt drops inquiry into murder of Italian student Giulio Regeni. It examines ten separate criteria or categories, covering the political environment, the macroeconomic environment, market opportunities, policy towards free enterprise and competition, policy towards foreign investment, foreign trade and exchange controls, taxes, financing, the labour market and infrastructure. Scores are awarded to each of these questions on a scale of 0 to 4, where a score of 0 represents the smallest degree and 4 the greatest degree of rights or liberties present. Egypt’s presidential elections of March 2018 posed little challenge to incumbent Abdel-Fattah el-Sissi being re-elected with 97% of votes, after all serious opposition contenders halted their campaign two months before the election. Learn more about Market Analyses about Egypt on Globaltrade.net, the Directory for International Trade Service Providers. Egypt will lead growth in the MENA region in 2020. Latest Update: January 2021. The economic files that the government faces and the citizens suffer from are many, varied and have repercussions during the new year, and analysts see them in an optimistic framework, while others refuted the risks that await them. At the same time, the dam expert expected that Ethiopia would agree to pass 35 billion cubic meters to Egypt instead of 31 billion, and the last is the percentage that Addis Ababa sees as sufficient as Cairo’s share of the Nile waters. For 2021, the priority is to support the economic recovery as the external environment remains fragile and risks include a second wave of COVID-19, less favorable financing conditions for emerging markets, and a drop in remittances (IMF). The country also became the 13th gas producer in the world (Le360Afrique), its production increasing by 12.4% during financial year 2019-2020 (Africa Oil & Power). Appropriate monetary policy allowed the inflation rate to further decrease in 2020, reaching 5.7%. Agriculture contributes 11% of the GDP (World Bank, 2019) and employs 23% of the active population (World Bank, 2020). And because the threads of those issues did not touch its end after the finish line, it seems that the year 2020 will be full of repercussions and consequences that will affect the political and economic scenes. Please check the spelling. In spite of economic diversification efforts, the country continues to depend on the Suez Canal for a large part of its foreign income. For the information on the local business support scheme established by the Egyptian government, consult the dedicated page on KPMG’s website.For a general overview of international SME support policy responses to the COVID-19 outbreak refer to the OECD's SME Covid-19 Policy Responses document.You can also consult the World Bank's Map of SME-Support Measures in Response to COVID-19. Egypt and Turkey ... different paths, do they cool the Mediterranean water or ignite it? Al-Koumi went on to talk about the repercussions of events in Libya, expecting that Turkey's intervention would change all the balance of the equation in the Eastern Mediterranean Region. Professor of Dams Engineering in Malaysia Mohamed Hafez says it is expected that the Renaissance Dam will be opened informally during the annual celebrations of the ninth anniversary of its founding in April. Tools and resources to help your company expand globally, In this page: Source: Each of the freedoms within these four broad categories is individually scored on a scale of 0 to 100. Inflation has been declining since end-2019 and has remained rather contained, registering an average of 5.7% in the fiscal year 2020 (from an average 19.6% in the previous three), reflecting subdued demand and the general decline of global commodity prices, including oil. To find out about the latest public health situation in the Egypt and the current sanitary measures in vigour, please consult the dedicated page on the website of the, For information on the travel restrictions undertaken by the Egyptian government, please refer to the website of the, For the up-to-date information on all the measures applicable to movement of goods during the period of sanitary emergency due to the COVID-19 outbreak (including eventual restrictions on imports and exports, if applicable), please consult the website of the. It is at the top of the files that occupied Egyptians during the past year, and it is natural for this concern to continue to develop during 2020. Therefore, any incident related to the contents or services must be resolved between the user and Export Entreprises S.A.; with no involvement or responsibility from Banco Santander, S.A. or any of its subsidiaries. Over the course of 2019, Egypt witnessed many political and economic issues and files, whether those that appeared on the scene suddenly, or that have ancient roots under the dust of previous years. Reform and Development Party [Mohamad Anwar al-SADAT], Socialist Popular Alliance Party, Constitution Party, Justice Party, Egyptian Social Democratic Party [Farid ZAHRAN] , Dignity Party , Freedom Egypt Party , Bread and Freedom Party, Arab Democratic Nasserist Party [Dr. Mohamed ABDUL ELLA], Arab Party for Justice and Equality, Democratic Generation Party, Democratic Peace Party [Ahmed FADALY], Egyptian Arab Socialist Party, Egyptian National Movement Party [Gen. Raouf EL SAYED] , My Homeland Egypt Party [Gen. Seif El Islam ABDEL BARY] ,Social Construction Party , Tomorrow Party , Victory Party, Voice of Egypt Party, Egyptian Democratic, Nasserist Party, Future of Egypt Party, Dignity Party, Tagammu Party, Free Egyptians Party [Essam KHALIL]: centre/centre-right , Wafd Party [Bahaa ABU SHOKA]: national-liberal ,Nation's Future Party (Mostaqbal Watan) [Mohamed Ashraf RASHAD]: centre-left , Congress Party [Omar Al-Mokhtar SEMIDA]: centre-right, big tent, liberalism, Conservative Party [Akmal KOURTAM] , Tamarrod , Tommorow Party, Sadat Democratic Party, Modern Egypt Party [Nabil DEIBIS] , Reform and Renaissance Party, Human Rights and Citizenship Party, We Are The People Party, New Independent Party, Arab Party for Justice and Equality, Homeland Defenders Party, Democratic Peace Party, Egyptian Arab Socialist Party, Modern Egypt Party, Republican People’s Party [Hazim AMR] : liberal and populist , National Party of Egypt, Egyptian Liberation Party, Tomorrow Party, Egyptian National Movement Party [Gen. Raouf EL SAYED], My Homeland Egypt Party, Democratic Generation Party, Building and Development Party , Freedom and Justice Party , New Labour Party , Virtue Party, Egyptian Reform Party , Authencity Party , People Party, Al-Nour [Yunis MAKHYUN]: far-right, conservative-salafistEl Ghad Party [Moussa Mostafa MOUSSA]El Serh El Masry el Hor [Tarek Ahmed Abbas NADIM]Freedom Party [Salah HASSABALAH]Homeland’s Protector Party [Lt. Gen. (retired) Galal AL-HARIDI]: populistNational Progressive Unionist (Tagammu) Party [Sayed Abdel AAL]Revolutionary Guards Party [Magdy EL-SHARIF]. For the up-to-date information on possible support plans for exporters in Egypt, if applicable, please consult the website of the Ministry of International Trade and Industry. Egypt reopened its airspace to Qatari flights on Tuesday and will allow the resumption of air traffic between the two countries as part of a thaw in relations with the Gulf state, officials said. The Central Bank of Egypt slashed policy rates by a cumulative 350 basis-points since March 2020 to ease liquidity. The economist Abdel Nabi Abdel Muttalib believes that the Egyptians have suffered a lot from the suffering and hardship in recent years, but he finds indicators of economic relief during the new year. The progovernment coalition For the Love of Egypt, consisting of some 10 parties, won all 120 bloc-vote seats. IMF – World Economic Outlook Database, President: Abdel fattah El-Sisi (since June 2014 ; re-elected for a second term in March 2018), Prime Minister: Mostafa Madbouli (since June 2018). The last elections for the House of Representatives took place in two stages in 2015. It started improving again during Q1 2020 and was recorded at 7.7%. In 2020, the Suez Canal Authority generated USD 5.61 billion revenues (Egypt Oil&Gas). Heshmat expected to expose the aims of what he called the axis of evil in the Islamic world and to expose his affairs to the people. Latest travel advice for Egypt, including how to stay safe during the coronavirus (COVID-19) pandemic and information on returning to the UK. The Economic freedom index measure ten components of economic freedom, grouped into four broad categories or pillars of economic freedom: Rule of Law (property rights, freedom from corruption); Limited Government (fiscal freedom, government spending); Regulatory Efficiency (business freedom, labour freedom, monetary freedom); and Open Markets (trade freedom, investment freedom, financial freedom). The future situation will get worse, as the dam expert expects that Egypt will not get 35 billion cubic meters, explaining that the formula for Nile water users has entered new partners and they are Arab Gulf countries who have invested huge funds in purchasing seven million acres located near the course of the Blue Nile. DRC: beyond consultations, the standoff between Félix Tshisekedi and Joseph Kabila, Egypt refers the issue of the Ethiopian Renaissance Dam to the UN Security Council, Libya file and water security fears ... economic risks that might reduce money flows to Egypt, Pink swings crossing Mexico and the United States rewarded, U.S. elections: divisions will impact U.S. economy. The Renaissance Dam .. Agreement to continue the tripartite negotiations under the auspices of the African Union, The balance of power, militarily and economically, is ahead of Egypt, and Ethiopia is challenging. Over the course of 2019, Egypt witnessed many political and economic issues and files, whether those that appeared on the scene suddenly, or that have ancient roots under the dust of previous years. Santander, Santander Trade and the Flame logo are registered trademarks. According to Abd al-Muttalib, there are data and indicators issued by local and international sources, expecting that in 2020 there will be an increase in growth rates, and low inflation rates to the lowest level, and this is likely to lead to a reduction in interest rates, which will contribute to increasing investment and employment rates. In an interview with the French paper Le Figaro , Sisi responded to a question on a potential military faceoff between Egypt and Turkey in Libya, saying, “Egypt will never initiate an attack . All rights reserved. On April 22, 2019, Egyptians cast their votes on the latest amendments, that include extending the presidential term of office from four to six years, and increasing the current president's term, assuring that Sisi will remain in office until 2030. Official turnout was also much lower than the previous election, around 41%. International Trade Centre's COVID-19 Temporary Trade Measures webpage. He expected that the local council elections that are supposed to take place this year will not differ from the parliamentarian, in terms of security domination over it and the victory of the hypocrites for power. The latter is forecast to pick up to 5% in 2022, subject to the post-pandemic global economic recovery. The IMF expects the unemployment rate to be affected by the negative economic impact of the COVID-19 pandemic, the rate being currently estimated to increase to 9.7% in 2021 and 2022. The Indicator of Political Freedom provides an annual evaluation of the state of freedom in a country as experienced by individuals. To find out about the latest status of the COVID-19 pandemic evolution and the most up-to-date statistics on the COVID-19 disease in Egypt, consult the daily statistics published by the WHO.For the international outlook you can consult the latest situation reports published by the World Health Organisation. The world rankings, published annually, measures violations of press freedom worldwide. Introductory Offer - expires 11:59 pm 9/9/2020 See the country risk analysis provided by Coface. The main crops are cereals, cotton, sugar cane and beetroots. Despite the COVID-19 pandemic, Egypt announced record oil production levels, exceeding 650,000 barrels per day. © Export Entreprises SA, All Rights Reserved. Simple average of its scores on the Suez Canal Authority generated USD 5.61 billion revenues ( Egypt &. Employs nearly half of the COVID-19 pandemic, Egypt was one of the COVID-19 pandemic IMF carry deceptive messages the! 2014 ( amended in 2019 ), such as organizing public events, and increasing arrests of members! High ( 48 % in 2021 and 7.9 % in 2018 according to IMF.. For Egypt, consisting of some 10 parties, won all 120 bloc-vote seats challenger was arrested, prompting challengers. A position are assigned to each country and abuse of state resources,! 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