Egypt raises Takaful and Karama allocations by 35% in FY 2025/26 budget

The Egyptian government is earmarking a substantial 35 per cent increase in the Takaful and Karama social security pension, raising its allocation to 54 billion Egyptian pounds in the upcoming fiscal year 2025/2026.

According to a statement by the Ministry of Finance on Saturday, the move aimed to cushion the impact of economic pressures on its most vulnerable citizens.

Minister of Finance Ahmed Kouchouk revealed the budgetary commitment, emphasising the government’s dedication to alleviating the burdens faced by low-income families. “Under the leadership of Prime Minister Moustafa Madbouly, we are prioritising support for those who need it most,” Minister Kouchouk said. He highlighted the allocation of 160 billion pounds for subsidised food commodities and bread, further demonstrating the government’s focus on essential needs.

The minister also pledged an additional 25 per cent increase in the monthly cash support for Takaful and Karama beneficiaries, effective April 2025. This future increase underscores the government’s long-term commitment to strengthening the social safety net.

The FY2025/2026 budget prioritises targeted social protection, Minister Kouchouk explained, noting the allocation of 732.6 billion pounds for initiatives aimed at improving living standards and meeting the basic needs of citizens. “We are implementing efficient programmes to ensure support reaches those who truly need it.”

Takaful and Karama Programme provides crucial financial assistance to millions of Egyptians, and this significant boost signals a determined effort to provide stability and security in challenging economic times. The government’s focus on targeted support and future increases reflects a strategic approach to addressing poverty and inequality.

Attribution: Amwal Al Ghad English