Managing the debt of emerging economies requires innovative solutions that strike a balance between sustainability and growth, Finance Minister Ahmed Kouchouk said during a roundtable on emerging markets held on the sidelines of the IMF–World Bank Spring Meetings in Washington.

 

Kouchouk said emerging economies need fairer financing mechanisms to support their sustainable development path. He added that sufficient fiscal space must be secured to meet financing needs amid ongoing economic challenges, alongside intensified international efforts to reduce the cost of financing for emerging markets and attract greater private investment.

 

He noted that emerging economies should adopt more inclusive and sustainable policies to enhance their resilience to global challenges.

 

Kouchouk stated that Egypt’s economy continues on a steady growth path and is strengthening its capacity to attract investment, adding that the marked improvement in economic performance indicators during the current fiscal year reflects the strength of government reforms.

 

He affirmed that the government is pursuing “flexible” fiscal and economic policies that balance fiscal discipline with supporting economic activity.

 

The minister pointed out that Egypt is also working to strengthen a “trust-based partnership” with the business community through a range of tax and customs facilitation measures, as well as programs and initiatives supporting priority sectors. He noted efforts to expand the production, economic, and export base to create greater opportunities for sustainable development.

 

Kouchouk highlighted the growing role of the private sector in development projects, noting a 42% increase in private investment during the first quarter of the current fiscal year.

 

He added that Egypt has a comprehensive strategy to reduce public debt, based on diversifying financing sources and instruments, with a target of lowering external debt of budget sector entities by $1–2 billion annually.

 

Kouchouk confirmed that Egypt is keen to deepen cooperation with international financial institutions to build a more competitive economy.