Cairo ( Associated Press) – Egypt’s president on Tuesday raised the minimum monthly wage to about $172, a move to ease the burden of Egyptians hurt by painful austerity measures in recent years.
President Abdel Fattah al-Sisi announced in a statement that the minimum monthly wage in the country would be 2,700 Egyptian pounds ($171.5) – a 12.5% increase from the current 2,400 Egyptian pounds ($152.5).
He also increased the salaries of civil servants by about 13%. This is the third annual minimum wage increase since al-Sisi took office in 2014. The announcement came as al-Sisi discussed the next budget with the prime minister, finance minister and other financial officials on Tuesday. Bonus for school teachers was also announced.
The statement did not specify when the hike would be implemented, but they are expected to coincide with the start of the new financial year in July,
The austerity measures were part of an ambitious economic reform program aimed at reviving Egypt’s economy, which had been hit by years of political turmoil and violence following the 2011 uprising that toppled longtime autocrat Hosni Mubarak. Had given.
The reforms were agreed with the International Monetary Fund in return for a $12 billion loan that the Egyptian government had secured in 2016.
Measures included currency fluctuations, substantial cuts in state subsidies for basic goods, and the introduction of a wide range of new taxes. They heralded a significant increase in prices and services, with some critics saying that the poor and middle class have been hit hardest.
According to official figures, 29.7% of Egypt’s more than 100 million people live in poverty.
Al-Sisi has repeatedly thanked the Egyptians, especially women, for enduring the harsh measures.