The central bank is expected to increase the budget deficit of 134 billion pounds to 182

The central bank is expected to increase the budget deficit of 134 billion pounds to 182

Governor of the Central Bank revealed that the budget deficit was expected 134 billion pounds but added to it 48 billion pounds from 24 billion pounds deficit becomes urgent to a minimum 158 billion pounds and up. . 182, regarding the sources of funding, the state revenue tax expected will be lower than expected, taking into account, for example, tax proceeds of more than one hundred clients in the banks and the low profit telecommunications sector is expected to be proceeds of banks less than 03% and to finance the deficit the financial issue Sntdat Treasury amounted to about 600 billion pounds was subscribed by the banks $ 450 billion, a figure representing 75% of the total domestic debt and 60% of deposits in local currency (companies and individuals.
The newspaper Al-Ahram on Sunday that the outcome of the discussions at the Economic Commission for improving the future of the economic conditions prevailing confirmed that external financing has become inevitable and unavoidable to fill the financing gap ranging from 10 to 12 billion U.S. dollars due to the increasing balance of payments deficit and the inability of the Maronites and the sharp drop in reserves.
Indicates the central bank governor to that in the current financial year 2011-2012 with the slowdown in economic growth is expected to be the growth rate of deposits less than the rates in previous years, according to preliminary estimates of the Central Bank that there are 0990 billion to finance the needs of the private sector and the remaining LE 75 billion to finance the needs of government and therefore funding gap exceeding $ 57 billion.
And the Finance Minister that the imposition of taxes on goods in a single table (Albandrol) on some goods such as cigarettes and tobacco will save about two billion pounds .. also reveals the Minister of Finance that there is a directive from the Prime Minister stressed the need to pursue tax evaders and take decisive action to prevent tax evasion as well as There is guidance from the Prime Minister and install 500 thousand employees, explaining that these employees are temporary workers would not represent a significant burden, which amount to $ 4 billion annually and this amount represents the difference between the salaries of temporary employment to permanent employment.
The Minister of Finance to Law No. 135 on social security and the possibility of introducing some amendments have been proposed to the Minister of Planning and International Cooperation held a joint meeting between the Minister of Finance and the Minister of Social Security to discuss the matter, explained the Minister of Finance with respect to the problem of containment of public debt that he is still studying measures to contain the the problem.
And suggests Warrior Industry and Foreign Trade to review the tariffs in some items and not inconsistent with international trade agreements with the possibility of raising the value of certain tax brackets for the investors.
And confirms the Minister of Supply and Internal Trade, the need to reconsider the customs duties imposed on the industries of automobile, where you get those industries the components of production from abroad tariffs weak at the same time is to protect the industry tariffs are high on the car finished and then verify that these industries are large profits, including may not damage the components of production.
And refute the Central Bank Governor Farouk node details and reasons for the low cash reserves and the terms of that decline, says that the net international reserves reflect the economic situation of the country during the period from 2004 to 2010 except for 2008 achieved a balance of payments surplus was able Egypt which increase the international reserves of 7 billion to $ 36 billion, but that since the beginning of 2009 proposals were The following exit of the capital of 8.8 billion dollars, including $ 8.3 billion Treasury bills and bonds and 5 billion dollars of stock in addition to the Paris Club and benefits $ 1.9 billion and repayment of treasury bills dollar $ 3 billion through the National Bank and Bank of Egypt and the oil sector $ 2.6 billion supply goods $ 2.6 billion.
It is already clear that the international reserves declined from about $ 36 billion in January 2011 to about $ 20 billion in November 2011 during a period of 11 months, this a great challenge, especially in light of the obligations owed by Egypt in the coming period, which is to pay the installments due on external debt, which depletes international reserves further.

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