Egypt drafts plan to rationalize public spending amid regional tensions

Egyptian Prime Minister Mostafa Madbouly convened a meeting to prepare a plan curbing government spending in response to regional tensions.

• Madbouly chaired the meeting with Finance Minister Ahmed Kojak, Planning Minister Ahmed Rostom, and Deputy Finance Minister Yasser Sobhi.
• Madbouly said the plan curbs government fuel and electricity consumption, trims advertising allocations, and prioritizes production and export growth.
• Officials said the final proposal will go before the cabinet and commits all state bodies to proactive measures safeguarding public finance.
• The plan ensures continued funding for strategic commodities, the petroleum and electricity sectors, and essential services to citizens.
• Madbouly chaired the central crisis management committee meeting, attended by the central bank governor and ministers of finance, electricity, petroleum, supply, and agriculture.
• The committee drew up preparation scenarios for escalating regional developments, including increasing strategic goods reserves and cutting fuel and energy consumption.
• The supply minister reported strategic reserves averaging six months for most commodities and a price-reduction initiative covering 30 goods with 15–25% discounts.