Government Allocates EGP 5 Billion in Direct Support, EGP 6 Billion in Financing Facilities for Egypt's Automotive Sector in New Budget

The Egyptian government has allocated approximately EGP 5 billion to directly support and develop the automotive industry in the new draft general budget for fiscal year 2026/2027. This move aligns with the state's strategy to boost local manufacturing and increase the production capacities of strategic industries.

Strengthening the Industrial Base

Finance Minister Ahmed Kouchouk stated that the new budget aims to build a more robust economy capable of achieving strong and balanced growth, while enhancing its responsiveness to the needs of both citizens and investors. The minister explained that the government has allocated around EGP 90 billion to expand programs supporting production and exports of goods and services, alongside backing entrepreneurship activities to stimulate economic growth and increase the competitiveness of productive sectors.

Financial Facilities and Export Incentives

Kouchouk highlighted the allocation of EGP 48 billion for export burden rebates and approximately EGP 7 billion to support the tourism sector. Additionally, EGP 6 billion has been set aside in the form of financing facilities for productive sectors to maximize industrial and agricultural capabilities. The new budget also includes EGP 5 billion for supporting small enterprises and entrepreneurship, along with EGP 2 billion to incentivize priority industries, aiming to boost local investment and increase the industrial sector's contribution to economic growth in the coming period.