People's Assembly renews confidence in the government
Egypt, Politics, 4/11/2002

The People's Assembly yesterday renewed its confidence in the government of Atef Ebeid and its program.

Speaker Ahmed Fathi Sorour said that after listening to a statement from Prime Minister Atef Ebeid, the assembly declares its support of the government's program.

Sorour congratulated the government of Ebeid in declaring confidence in the government, the Assembly appreciates its programme and the promises it has made on hopes that prosperity will be realized on the land of Egypt, Sorour said.

Two independent deputies Mahfouz Hilmy and Farouk Metwalli abstained from voting.

In his statement, the Prime Minister said that Assemblymen have presented seven demands on behalf of farmers.

"Both myself and members of the government have reviewed these demands and we are happy to join you in responding to the larger part of them, provided you approve the necessary funds," the Prime Minister said.

The seven demands are:

1- To reschedule debts due to the agricultural credit bank and to extend the period of repayment to 10 years. This will cost the state treasury 230 million pounds annually. We agree to realize this. We have provided the necessary funds and implementation will begin as of July 1.

2. To stabilize the prices of fertilizers. We agree to this demand and shall ask fertilizers companies to stabilize prices at their present level.

3. Prices of sugar cane on which the majority of upper Egypt farmers depend. Egyptian companies produce 70 percent of the local market needs of sugar (1.5 million tons).

4. To complete major land reclamation projects. We have provided the funds, recruited the manpower and used science to complete the largest projects of irrigation and land reclamation in Egypt's history.

5. To carry Nile water to land west of the Delta. The project costs 800 million pounds.

6. To include land reclamation projects in the governorates into the development plan. We have decided, at your recommendation, that reclaimed land in governorates be given to the inhabitants of each governorate.

7. To diversify production in villages with the aim of finding additional sources of income for families in rural areas. We have set up 120 centres to train young people in the countryside.

You also asked to provide protection for national industries against unlawful competition. Strict measures have been taken to meet your request. Our goods are being sold on world markets through strong and capable organizations.

You asked for setting up industrial zones and providing incentives for industrial zones in upper Egypt.

The results achieved confirm our confidence in Egypt, at present and in future.

Another request you made is to protect our workers against unemployment in the light of transformations in market economy, particularly after September 11, in the sector of tourism.

There are two solutions :

1. I hope you will approve a proposal to set up a fund to issue an " unemployment allowance" to those who are asked to leave their work. I hope that this fund will become operative as of July 1.

2. To expand vocational training centres.

The Prime Minister said that in reply to queries submitted to Assemblymen, he wishes to state that domestic debt amounts to 203 billion pounds.

Dealing with oil policy, the Prime Minister said that more guarantees will be provided to attract international investments in the field of oil prospecting. Refining capacities will be enhanced to secure local needs.

In the financial field, the government will increase expenditure to provide more services.

The government will maintain budget deficit at 4 percent of the gross domestic products (GDP).

In order to stabilize foreign currency reserves, expenditure is being made only for necessary and imperative purposes while, at the same time, resources of foreign currency are being increased.

"But I wish to stress that we shall not permit manipulators-individuals or organizations - to affect supply and demand. This is a crime against the country and those responsible will not escape punishment. Free economy does not mean freedom of manipulation," the Prime Minister said.

As regards education services, the Prime Minister said that 15000 new schools will be built. Required allocations amount to45 billion pounds.

More teachers will be trained and new colleges will be built. This requires 2000 million pounds.

Curricula will be reviewed. The full-day system will be applied. A food meal will be provided. Places for hobbies will be made available.

This requires increasing the amount spent on each student annually from 1000 pounds, at present, to 2500 pounds. We have 17 million students.

This means that we want a current expenditure budget for education of 42.5 billion pounds, representing 42 of total current expenditure.

Preliminary estimates indicate that it is inevitable to provide land for youth housing units and enable them to pay the price on installments within their means.

Preliminary estimates show that it is inevitable to build 200,000 housing units annually at a total cost of 6 million pounds and to subsidise the interest rate for installment to continue for 30-years by providing a subsidy of 360 million pounds.

"We shall always be guided by your sound ideas to realize progress on the good land of Egypt which witnesses every day more progress and more achievements in the reign of President Hosni Mubarak, Prime Minister Dr. Atef Ebeid told Assemblymen.

The Prime Minister further said that in a flagrant defiance of the UN resolutions and international legitimacy, and the wish of the peoples of the area to realize an overall peace, the Israeli government and the Israeli army committed a ferocious aggression on the unarmed Palestinian people who are heroically defending their land and seek a noble goal, namely the setting up of their independent state with Al Quds Al Sharif as its capital.

President Mubarak has moved in every direction and intensified his efforts with world powers to stop this (Israeli) aggression and to show its danger to the peoples of the region, including the Israeli people.

President Mubarak is in daily contact with world leaders and international organizations and international powers and ask them to intervene, without delay, decisively and forcefully, to protect the Palestinian people.

President Mubarak has given instructions to the government to move quickly and contact all Non Governmental Organizations to send aid and shipments of relief materials (medicine, medical appliances, food and livelihood requirements) to the Palestinian people.

All have hastened to participate in this effort.

We asked six ministers (health, industry, supply, transport, local development and social affairs) to carry out, each in his field, the relief programm which they have drawn up and to follow up implementation in collaboration with the Egyptian Red Crescent.

Your esteemed Assembly, and the Shura Council and all popular organizations, and our national media, acted in complete coordination to support right.

Egyptian organizations called on similar organizations in all parts of the world to move quickly to stop (Israeli) aggression and injustice and suppression.

The President and leader also gave instructions to stop all contacts with the Israeli government, except those which serve the Palestinian people.

This shows that we are keen to protect the Palestinian people and that we are concerned because of the victims (of Israeli aggression).

We continue, through our direct messages and our national media, to acquaint the world and the Israeli people of the dangers resulting from continued (Israeli) aggression and expected threats to their security and to many world countries and organizations.

We shall continue our support (to the Palestinian people) and we shall continue to provide humanitarian assistance to the Palestinian people.

We shall share with them what is available in the whole world to support the efforts for peace and the establishment of the state of Palestine.

Our foreign policy is clear and I stress it again as follows:

First: To continue to support the Palestinian people until permanent and just peace is established.

Second: To continue efforts to protect the region against the dangers of war in order to preserve lives and resources.

Third: to maintain continued orientation to set up an Arab and African trade zone.

Fourth: To win the largest number of friends in the United States, Canada and Europe to attract more investments and win a bigger share of trade.

Fifth: To build bridges for the transfer and flow of technology and knowledge to the sites of external work.

These events show that it is important to continue to work - government, non-governmental organizations, and people -- to realize more economic and social strength.

The facts of history and the course of events affirm, beyond any doubt, that our efforts should be directed to realize more progress and growth.

This is the real source to make people happy and to increase their defence and security capacities.

Prime Minister Dr Atef Ebeid said that the government will set up an "unemployment aid fund" to assist all who are working and are asked to leave their work.

He said that the fund will be established on July 1. It will be run jointly by the Ministry of Labour and the Egyptian Trade Unions Federation.

The government will provide technical assistance for its administration.

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