In a defiant address to the nation, Egyptian President Abdel Fattah al-Sisi sought to reassure citizens grappling with skyrocketing inflation and a foreign currency crisis, asserting that essential needs are still met and mega-projects remain crucial for job creation.
Sisi acknowledged the economic hardship, attributing it to Egypt’s dependence on imported staples and fuel, requiring billions of dollars monthly. He emphasized, however, that basic necessities are available, stating, “Don’t we eat? We eat. Won’t we drink? We drink, and everything is functioning.”
While acknowledging the challenges, Sisi vowed perseverance, urging Egyptians to endure the difficulties for the sake of long-term growth. “If we can bear with it, we will live, we will grow, and we will overcome this problem,” he declared.
His comments come amidst Egypt’s renewed negotiations with the International Monetary Fund (IMF) for a $3 billion program. The IMF has reportedly urged currency devaluation and structural reforms, including scaling back the military’s economic footprint.
Sisi defended the government’s ambitious infrastructure projects, arguing they provide essential employment. “I employ 5-6 million people,” he said, referring to the workforce engaged in mega-projects like the new administrative capital east of Cairo. “Tell me … how could we shut all this down?”
However, critics argue that the mega-projects strain Egypt’s finances and benefit the military disproportionately. The government also faces a daunting debt burden accumulated in recent years.
Sisi acknowledged the economists’ recommendations for austerity measures but maintained his stance on the projects. “This economic view may be sound,” he conceded, “but to that I say: I employ 5-6 million people…”
With inflation exceeding 30% and the foreign currency shortage posing risks to vital imports, Egypt navigates a precarious economic landscape. Sisi’s address reflects a balancing act between acknowledging hardship and projecting confidence in overcoming the challenges, while his commitment to large-scale projects remains a point of contention.
