Opinion: A Lebanon-like scenario for Egypt"
"Egypt?s contemporary economic model is marked by the unprecedented enormity of its expenditure compared to its resources and revenues."
The post Opinion: A Lebanon-like scenario for Egypt" appeared first on LUXUO.
Image: Tom Podmore/Unsplash
Egypt?s contemporary economic model is marked by the unprecedented enormity of its expenditure compared to its resources and revenues. This has been the case since the accession to power of President Abdel Fattah al-Sisi. In fact, he and his government act as if Egypt enjoyed the same kind of petrol or gas income as the ?Petromonarchies?, or as if the country had a giant industry and export like China. However, Egypt can alas not claim to be one or the other since its trade deficit is in the order of US$45 billion per year. Under the urges of Sisi, Egypt nevertheless behaves like a beggar but with a ferocious appetite. It is putting intense pressure on its citizens by reducing social aid, a tax system that punishes the worst-off, and increasing the cost of what can no longer acceptably be called ?public services?. At the same time, 30 million Egyptians are currently living on US$3 a day. And as a reminder, the country?s per capita GDP is 140th out of 213.
READ MORE: Opinion: China At Crossways
Now, from atop its debt has quadrupled in 10 years and now counts to US$375 billion. Egypt?s survival depends entirely on foreign funding, and paying off just the interest on its debts to national and international cr...
The post Opinion: A Lebanon-like scenario for Egypt" appeared first on LUXUO.
Image: Tom Podmore/Unsplash
Egypt?s contemporary economic model is marked by the unprecedented enormity of its expenditure compared to its resources and revenues. This has been the case since the accession to power of President Abdel Fattah al-Sisi. In fact, he and his government act as if Egypt enjoyed the same kind of petrol or gas income as the ?Petromonarchies?, or as if the country had a giant industry and export like China. However, Egypt can alas not claim to be one or the other since its trade deficit is in the order of US$45 billion per year. Under the urges of Sisi, Egypt nevertheless behaves like a beggar but with a ferocious appetite. It is putting intense pressure on its citizens by reducing social aid, a tax system that punishes the worst-off, and increasing the cost of what can no longer acceptably be called ?public services?. At the same time, 30 million Egyptians are currently living on US$3 a day. And as a reminder, the country?s per capita GDP is 140th out of 213.
READ MORE: Opinion: China At Crossways
Now, from atop its debt has quadrupled in 10 years and now counts to US$375 billion. Egypt?s survival depends entirely on foreign funding, and paying off just the interest on its debts to national and international cr...
| -------------------------------- |
|
|
