Ebeid: No devaluation of Egyptian pound

In his meeting with the members of the Federation or Egyptian Chambers of Commerce (FEDCOC), Prime Minister Atef Ebeid said that he absolutely rejects any devaluation of the Egyptian pound, as requested by some quarters.

ÊÊÊ The Prime Minister elaborated that there are flows of foreign exchange resulting from the exports of commodities, oil, and natural gas.

ÊÊÊ He added that the reports of the Investment Authority assert the increase and expansion of investments by 20 percent, and there is an ever-increasing demand on investments in the small projects, which means more job opportunities.

ÊÊÊ Ebeid underlined that Egypt was one of the few countries which managed to cope with international economic stagnation which resulted from the breakdown of the Asian Tigers' economies.

ÊÊÊ He warned of the false reports about the Egyptian economy which gave a wrong picture of the Egyptian economic performance and affected the flow of foreign investments in Egypt.

ÊÊÊ Ebeid called for providing true data about Egypt's economic achievements. He added that the government will support the businessmen who failed to repay their debts for reasons beyond their control, and will grant them grace periods with ample time for final settlement.

ÊÊÊ Those businessmen, he said, represent 95 percent of the defaulting businessmen.

ÊÊÊ At the same time, there won't be any pity or mercy for those who intentionally squandered the public funds.

ÊÊÊ The Prime Minister further said that the subsidy for the basic commodities will continue, and the first segments of the consumption of water, and electricity are in favor of the limited-income brackets.

ÊÊÊ He announced that L.E. 2 billion were devoted for creating jobs for the youths through the Social Fund for Development (SFD), and this amount will increase by L.E. 500 million per annum.

ÊÊÊ The Prime Minister also said that the government is committed to the implementation of the directives given by President Mubarak in respect of realizing development and protecting the limited-income brackets, besides the protection of the businessmen and traders without distinction.

ÊÊÊ He pointed that the reports of the International Monetary Fund (IMF) asserted the improvement of the Egyptian economy, which resulted in a decrease of the rate of inflation into 2.3 percent, and the deficit in the State Budget into 3.8 percent, and an increase in the growth rates to become 3-4 percent, subject to further increase next year.

ÊÊÊ Ebeid highlighted the fact that the government plan is to increase the present investments, and at the same time setting up future plans to the advantage of the coming generations.

ÊÊÊ He said that all signs admit no room for concern, and would invite us to be optimist about the performance of the Egyptian economy.

ÊÊÊ Ebeid called upon the investors and businessmen to contribute to the increase of growth rates through taking advantage of the large investment incentives available in Egypt.

ÊÊÊ There are 450 million square meters in the new industrial areas still at the disposal of investors.

ÊÊÊ It's essential that such investments be directed to the high-yield projects, and there is a plan to develop the industrial areas to become in the same manner as the best areas in the world.

ÊÊÊ The Prime Minister stated that the government guarantees the deposits at the banks, and that there is full security in this respect, pointing that the government represents 40 percent of the total debts of the banks, and is responsible for a settlement.

ÊÊÊ He further said that the government is keen on concluding the customs development, before the fixed deadline, estimated by three years.

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