Minister: Greek crisis will impact Egypt

At a press conference on Wednesday, Economic Development Minister Othman Mohamed Othman said that the Greek financial crisis could be expected to have “adverse repercussions” on Egypt’s economy.

“The repercussions could be even worse if the crisis spreads to the rest of the EU, which buys some 40 percent of our exports,” the minister said.

For this reason, Othman added, his ministry had formed a special committee mandated with following up on Greece’s unfolding economic dilemma.

Othman also used the occasion to deny any intention on the part of the government to raise petrol prices. “On the contrary, we have earmarked more funds for energy subsidies in the 2010/11 state budget,” he said.

“The third quarter of the current fiscal year saw a growth rate of 5.8 percent,” Othman went on to say, forecasting a 5.3-percent average growth rate for the whole year.

“But in order for people to start feeling a difference in terms of living standards, we need to achieve a growth rate of 8 percent for five years in a row,” he added.

The minister further noted that unemployment had fallen by 9 percent during the current fiscal year, while wages had risen by a total of LE10 billion.

Translated from the Arabic Edition.

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