U.S. Treasury Secretary Jack Lew recently met with Egypt’s Finance Minister Hany Dimian in Cairo, Egypt; and discussed the steps Egypt has taken in advancing its economic reforms.
Secretary Lew indicated that these economic reforms reorient the Egyptian national budget toward improving the lives of the Egyptians, including boosting spending for social programs, reducing inefficiency on subsidies, and will be critical to strengthening the macroeconomic environment.
“These steps will help Egypt invest in its people, so that all Egyptians can share in the country's growth, while putting Egypt’s budget and debt trajectory on a more sustainable path,” he said, noting both he and Minister Dimian agreed that creating jobs and opportunity for all Egyptians must be at the center of the reform agenda.
“We discussed Egypt’s need for external assistance in order to support the long-term, broad-based, sustainable growth . . . and greater economic security,” Secretary Lew said. “We [also] discussed the rule of law and how creating an open political environment in which individual rights are fully respected would further bolster Egypt’s ability to attract international investment.”
“We also discussed plans for the International Monetary Fund to conduct an assessment of the Egyptian economy later this year,” he continued. “The multilateral development banks, with the support of the United States, have already provided assistance to Egypt. This includes the World Bank . . . the European Bank for Reconstruction and Development . . . and the African Development Bank.”
The development banks will be critical in helping Egypt to invest in infrastructure, expand access to financial services, and help support small businesses.
“I look forward to the upcoming publication of Egypt’s detailed medium-term macroeconomic plan, and to Egypt continuing this positive momentum over the next few years.” Secretary Lew said in conclusion. “I look forward to continuing our dialogue and enhancing the economic partnership between our two countries to help build an Egypt that can grow and support jobs for all Egyptians in the long run.”