Minister of Finance Dr. Youssef Boutros Ghali has announced a marked improvement in the State Budget in the first quarter of the fiscal year 2006/2007 due to an increase in overall revenues  by 64% while the tax base has soared by 27.3%.

Expenditures have also increased by 15% in the first quarter to 5.6% of gross domestic product in view of an increase in salaries and wages accompanied by a drop in subsidies.  Public debt is generally under control.  Fiscal reforms are expected to lead to a drop in deficit by half in the mid term.  Net government debt has soared to 60.5% of GDP.  Foreign debt is within acceptable and safe limits. 

Indicators regarding the economic performance reveal a drop in total deficit to 40 billion pounds, or 7.9% in GDP after including exports of liquefied natural gas.  Tax revenues have soared including sales and services taxes while expenditures have increased

(source :Al-ahram)