State budget passes even as MPs malign steep debt service bill
The House of Representatives gave final approval on Tuesday on the state budget and economic and social development plan for fiscal year 2025/2026, along with the budgets of 63 public economic entities.
According to the Planning and Budget Committee's report, cited by the state-owned Al-Ahram newspaper, 41 of these entities are projected to turn a profit under the new budget, while 16 are expected to incur losses.
Budget discussions earlier in the week saw sharp criticism from several MPs over the steep rise in debt service allocations, which now account for 65 percent of total expenditures. Lawmakers also voiced concerns that the government circumvented its constitutional obligations for health and education spending. In response, Finance Minister Ahmed Kouchouk insisted on Tuesday that the government complied with all constitutional requirements.
Several MPs attacked the government's overall performance, accusing it of mishandling public finances amid regional turmoil, Al-Masry Al-Youm reported.
'The country is in crisis, and we're facing a tough regional environment that requires progress,' Planning and Budget Committee Secretary MP Abdel Moneim Emam said, arguing that the current government — in place since Prime Minister Mostafa Madbouly assumed office in 2018 — 'is not fit to be a wartime government.'
MP Ahmed al-Sharkawy also rejected the budget, citing the need for 'precautionary measures and readiness for any scenario' given the region's volatility. He argued that Egypt's economic performance has direct implications for its political and regional standing and warned of a looming 'disaster' brought on by successive governments and their budgetary choices over the past decade, particularly the mounting domestic and foreign debt.
Last year's budget faced similar criticism in a report by the Central Auditing Organization (CAO), which pointed to patterns of mismanagement across public finances — from covering defaulted debt by several non-budgetary governmental bodies, to the rise in tax arrears among government entities and the failure to make use of foreign loans.
The House's Planning and Budget Committee incorporated the CAO's findings into its own report, which recommended investigating some of the foreign loans in question. But, according to a member of the committee who had previously spoken to Mada Masr on condition of anonymity, 'the entire Parliament discussed the report and passed it without forming the [fact-finding] commission, effectively closing the matter.'
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
CairoScene
2 hours ago
- CairoScene
BIG Reimagines Dubai's Jebel Ali Racecourse as an Urban Oasis
BIG–Bjarke Ingels plans to transform Dubai's Jebel Ali Racecourse into a vibrant, walkable district centered on community life. Jun 21, 2025 In partnership with Dubai-based developer A.R.M. Holding, architecture firm BIG has unveiled a masterplan to redevelop the 5-square-kilometre Jebel Ali site into a pedestrian-oriented urban district. The design aligns with the Dubai 2040 Urban Vision and focuses on mobility, environmental performance, and livability. At the centre of the project is a large public park that runs through eight distinct neighbourhoods, creating a green corridor surrounded by shaded plazas and walkable streets. The plan integrates natural elements with infrastructure to support more accessible and climate-conscious urban living. The site's existing racetrack will be retained and incorporated into the development, acknowledging the location's heritage while introducing new public facilities, cultural institutions, and civic spaces. The layout is designed as a series of urban clusters surrounded by green space, offering visual and physical links to the central park. Transport within the district will rely on an automated system to minimise car use and promote alternative mobility options such as walking and cycling. The design incorporates passive cooling features, shaded areas, and desert-inspired landscaping to create more comfortable outdoor environments throughout the year. 'This project is an archipelago of urban islands in a sea of green—reimagining the site not as a collection of objects in isolation, but as a living landscape of interconnected communities,' BIG founder Bjarke Ingels says. Construction is set to begin in early 2026. The Jebel Ali project is intended to inform future urban developments in Dubai, particularly in areas of walkability, integration, and environmental adaptability.
CairoScene
2 hours ago
- CairoScene
New Digital Tool Streamlines Foreign Marriage & Divorce in Egypt
The Ministry of Justice has launched a pilot digital platform to help citizens access documentation requirements for foreign marriages and divorces, aiming to simplify legal processes. Jun 21, 2025 Egypt has introduced a pilot digital service that allows users to check documentation requirements for foreign marriages and divorces through an online platform. The new tool is part of the country's broader digital transformation agenda under Vision 2030 and follows presidential directives to improve public access to legal services. Available via the Ministry of Justice's digital portal, the service is designed to support Egyptians marrying foreign nationals, as well as Christian citizens who belong to different denominations or sects. It provides guidance on required documents for procedures including marriage, divorce, legal review, and confirmation. This is the first time such a service has been made available online and is expected to significantly reduce the need for repeat visits to the Office of Foreign Marriages and its affiliated branches. The platform reflects ongoing efforts to modernise Egypt's administrative processes and improve efficiency in citizen-facing services.
Mid East Info
3 hours ago
- Mid East Info
National Bank of Fujairah sponsors Abu Dhabi Infrastructure Summit 2025, championing innovation in lifestyle infrastructure
NBF spotlighted role of sustainable finance and SME empowerment in building people-first, innovation-led cities Dubai – June 2025 — The National Bank of Fujairah (NBF) is proud to announce its participation as a sponsor of the inaugural Abu Dhabi Infrastructure Summit (ADIS) 2025, which was held under the theme 'Designing Tomorrow's Way of Life' on 17–18 June at the Abu Dhabi Energy Centre. As a leading financial institution with deep roots in infrastructure financing and business enablement, NBF's support for ADIS underscored its commitment to advancing the UAE's visionary economic development agenda. The summit brought together more than 600 projects valued at over USD 54 billion, spotlighting Abu Dhabi's transformation into a global model for sustainable, smart, and community-centric infrastructure. Commenting on the bank's participation, Adnan Anwar, CEO at NBF, said:'ADIS 2025 represented a unique platform for future-defining dialogue on how cities, businesses, and communities can thrive in a rapidly evolving landscape. NBF was honoured to support this transformative initiative and to contribute to shaping a future where innovation, and inclusion define how we live, build, and grow.' As a sponsor, NBF engaged with decision-makers, developers, and investors across conference panels and high-level networking sessions, bringing to the table its unique insights into structured finance, SME empowerment, and sustainable development financing. Participation reaffirmed NBF's role in enabling next-generation infrastructure that supports economic diversification and an improved quality of life in the UAE and beyond.
