Egyptian government reveals way to counter dollar’s rise against pound

Egyptian Prime Minister Dr. Mostafa Madbouli spoke about the government’s policy on the implications and expected impact of exchange rate flexibility on income, economic growth and employment.

Madbouli stressed that the government’s policy is to adopt structural reform packages as part of the national program of economic and social reforms aimed at increasing the level of production and supply of goods and services, which will lower prices and create more jobs, which included 6 reform areas , through 32 policies and targets targeting 88 priority procedural and legislative structural reforms out of a total of 310 reform measures, adding that the state continues its efforts to control markets and increase the motivation levels of farmers to produce basic commodities to improve self-sufficiency in many commodities, especially wheat, in such a way as to reduce inflation and help control price rates.

In this regard, the Prime Minister explained that the state has provided additional incentives to motivate farmers to supply wheat for the 2022 season to encourage all growers to hand over at least (12) yards of wheat crop per acre to marketers, and the area under wheat has been increased to (3.7) million feddans in 2022 compared to (3.4) million feddans in 2014, an increase of (7.4%), in addition to increasing the number of silos to reach (74) silos in 2022 compared to (40) silos in 2014, an increase of (85%), in addition to an increase in wheat storage capacity of (183.3%), reaching (3.4) million tons in 2022. , compared to (1.2) million tons in 2014, adding that in this regard, the state also set the weight of wheat ardebum at only (150) kilograms instead of (155) kilograms, which gives (5) kilograms of wheat in each ardebum in benefit of the farmer with an increase in the number of wheat receiving points, since for wheat in 2022 it was added (45) points added, bringing the total number of points to (450).

The Prime Minister stressed that the above measures have contributed to an increase in wheat shipments this year to (4.2) million tons, which is half the amount produced in Egypt this year, indicating that this year’s supply operations represent is a major shift. in the reaction of farmers to the supply of wheat The local supply price of wheat was also announced well in advance of its first planting as part of the implementation of contractual agricultural policy, when the price of wheat was raised to (1000) pounds as an indicative. price for next season’s 2023 supplies compared to (820) pounds last season.

Madbouli pointed out that the government continues to adopt broad social protection packages, the most important of which is to subsidize bread and maintain its price for the consumer despite the increase in world prices, so that the state bears the difference in production costs, which benefits 71 million citizens, in addition 64 million citizens who benefit from it, in addition to the cash support provided under the Takaful and Karama programs for those eligible for relief for these groups.

In the same context, the Prime Minister added that a number of measures have been taken to support the social protection system, including the preparation of an exceptional social protection package, including the possibility of providing exceptional material support to about (9.1 million) families, with a total monthly cost of (1,121 ) billion pounds sterling, with the launch of a (130) billion pounds financial and social protection package to overcome the consequences of global economic problems resulting from the Russian-Ukrainian crisis and to mitigate its impact on citizens. The goal of providing social protection to citizens, eligible for food assistance has been achieved.

Source: Al-Ahram