Egypt's domestic debt in safe limits
Egypt, Economics, 12/18/2000

Egypt's Prime Minister Atef Ebeid said the domestic debt is within the safe limits as it poses no harm against the national economy.

"The government implements clear-cut economic policy to cut down the debt and keep it in safe limits," Ebeid said, in statements to the reporters.

The indicators noted the domestic debt rate reached 54% of total Gross Domestic Product (GDP) against 60% - 110% of other countries' Ebeid added.

"The domestic debt was used as investments in the state's service organizations and administrative machinery and construction of infrastructure," he said.

The national economy has huge assets in the form of 42 institutions, including the Suez Canal, petroleum and telecommunications authorities, the value of their assets is double the internal debts.

In statement Saturday, Ebeid said there is absolutely no intention to sell the Suez Canal and petroleum authorities.

Minister of Planning and International Cooperation Ahmed Darsh said the report of Standard and Poor's would have square reverberation in the Egyptian economy as the trust and direct foreign investment will increase.

"The direct foreign investment would have positive impact on the privatization program,"he said.

Darsh,in statements, said the economic growth is expected to reach at least 5.5%.

"There are also positive indicators related to increasing the exports volume,cutting down the foreign debt, "he said.

"The Egyptian economy witnesses upsurge in the tourism sector ,"he said ,noting that the capital market in Egypt is run in the light of transparency which will help spur the capital influx.

Previous Stories:
  President reviews development in mega projects   (12/16/2000)
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  Standard and Poor's:Egypt's economy could stabilize its growth rate   (12/16/2000)

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