Egypt’s economy expected to grow by 2.4% in 2021, hike to 5% in 2022: Moody’s

  • Date: 21-Jan-2021
  • Source: Ahram
  • Sector:Economy
  • Country:Egypt
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Egypt’s economy expected to grow by 2.4% in 2021, hike to 5% in 2022: Moody’s

Egypt's economy is expected to robustly bounce back in 2022 driven by the projected increase of the real GDP to five percent, the diversity of the Egyptian economy sector, and the success of the current structural reforms, said Moody's.

Moody's projections were published in its Egyptian banks' macro profile report issued on Wednesday.

It also predicted Egypt's economy to grow by 2.4 percent in the current FY2020/2021.

Moody's said that Egypt's macro profile reflects its large and diversified economy, reform track record, structural impediments that inhibit investments, and challenging credit conditions.

Moody's highlighted the inclusive procedures that Egypt's government has been taking to contain the COVID-19 pandemic and its associated economic repercussions, adding that these procedures have contributed to its positive outlook for the Egyptian economy.

Moody's also gave a stable outlook rate for the Egyptian banks based on their solid situation built on their finances and cash liquidity as well as the country's economic reform programme that has benefited them.

It also gave Egypt's sovereign credit a stable outlook, adding that it is expected to support banks' performance.

Moody's stressed that Egypt's expansion in its financial inclusion policy and the increase in Egyptian expats' remittances support the