Dr. Rania Al-Mashat Comments on the S&P Global Ratings Report
● S&P Global Ratings commends the government’s efforts in enhancing the governance of public investments and state-owned enterprises, while expanding the space for private sector participation.
● The institution affirms that the public investment ceiling ensures efficient spending and directs resources toward developmental and productive priorities.
● The report highlights the strong economic growth momentum achieved during the past fiscal year and anticipates continued improvement in the tourism, communications, agriculture, and trade sectors.
● Dr. Al-Mashat: “We are continuing the path of economic reform through an ambitious program focused on the most productive sectors, boosting exports, and increasing private sector investment.”
● “We remain committed to the spending ceiling and to sound governance that ensures effective prioritization and greater private sector participation in the economy.”
Dr. Rania Al-Mashat, Minister of Planning, Economic Development, and International Cooperation, affirmed that S&P Global Ratings’ decision to raise Egypt’s credit rating from “B-” to “B” with a Positive Outlook underscores the tangible results of the economic and structural reforms implemented by the state.
Her Excellency added that the institution’s report anticipates the Egyptian economy will continue achieving robust growth in the coming period, supported by key sectors such as agriculture, communications, tourism, and wholesale and retail trade. She noted that through “Egypt’s Narrative for Economic Development,” the state is pursuing a transition toward an economic model centered on the most productive and export-oriented sectors, thereby transforming the structure of economic growth.
Dr. Al-Mashat explained that Egypt is implementing an integrated policy framework through the Narrative for Economic Development, coordinating the strategies of industry, trade, investment, and employment to stimulate growth in productive sectors and the real economy. She highlighted that the growth indicators for FY 2024/2025—in which non-oil manufacturing industries were the highest contributors to overall growth—reflect this transformation and confirm the significant potential of the Egyptian economy.
The Minister stated that S&P Global Ratings expects the positive impact on the current account deficit to continue, projecting it to decline to around 4% during 2026–2028, supported by the ongoing growth in exports of goods and services and the government’s exchange rate flexibility policy.
The institution noted that the upgrade reflects the reforms implemented since March 2024, including the liberalization of the exchange rate system, which led to a sharp rebound in GDP growth during fiscal year 2025.
Dr. Al-Mashat also pointed to the report’s acknowledgment of the continued implementation of comprehensive structural reforms aimed at addressing growth constraints, improving the governance of public investments and state-owned enterprises, and expanding the role of the private sector. She emphasized that the government remains committed to the public investment ceiling, ensuring spending efficiency and directing resources toward priority sectors.
In this context, the report highlighted that, for the first time, the government published revenue and expenditure data for 59 economic entities within the budget statement as of April 2024—a move reflecting the state’s strong commitment to financial transparency and public spending governance.
Concluding her remarks, Dr. Rania Al-Mashat reaffirmed that the contents of the S&P Global Ratings report are aligned with Egypt’s Narrative for Economic Development, which aims to achieve sustainable, private sector–led growth focused on high-productivity sectors, while strengthening public investment governance within a more efficient and transparent framework for managing public resources.