1H of FY 2014/2015 sees tax revenue rise, decreasing budget deficit growth: Finance ministry

The Ministry of Finance’s monthly report outlined Egypt’s improved economic performance, with rising tax revenues during the first half of the fiscal year (FY) 2014/2015 by 9.9%, registering EGP 114bn.

It has attributed the increase to a EGP 14bn hike in the revenues of products and services taxes, marking 33.8%, to reach EGP 55.3bn, the report said.

The budget expenditures during the same period recorded EGP 287.4bn, a 9.7% increase, the ministry said. It attributed it to increases in social programmes spending, including the minimum wage, physicians and teachers’ bonuses, social insurance pensions and investments in infrastructure.

The report detailed that sales tax revenues grew by 25.3% to register EGP 25bn between July and December 2014. There was also an increase in taxes on petroleum products by 218%, recording EGP 5.4bn and revenues of service tax by 28%, also recording EGP 5.4bn.