Egypt’s PM says government will reassess austerity measures once crisis passes

Egypt’s government defended its recent austerity measures and fuel price adjustments on Tuesday, saying the steps are temporary responses to extraordinary global conditions and will be reassessed once the crisis stabilises.

Prime Minister Moustafa Madbouly told reporters at his weekly press conference that the country is navigating “extraordinary circumstances,” noting that governments worldwide are facing similar pressures. “Once these exceptional conditions end and their impacts subside, we will reassess all decisions,” he said.

Madbouly emphasised that the state has acted quickly to rationalise government spending, freeze certain expenditures, and prioritise essential projects. Ministries have also been instructed to cut energy consumption, a move reinforced during a recent meeting of regional governors to ease pressure on the state budget.

Madbouly acknowledged that the measures may have a short-term impact, but said they are necessary to ensure continuity in public services, industrial production, and household energy supply. “This is an exceptional and temporary effect,” he said, adding that the government continues to absorb a significant portion of rising fuel costs to shield citizens and businesses from the full impact of global price surges.

The prime minister also emphasised Egypt’s solidarity with Arab countries affected by recent attacks, saying the government is monitoring the situation around the clock and taking preemptive steps to manage risks.

Attribution: Amwal Al Ghad English