Egyptian Finance Minister Ahmed Kajuk said that Egypt decided to raise the minimum wages of public sector employees to 7,000 Egyptian pounds (138.50 dollars) per month as of July 2025.
This increase comes within a social protection package, the government revealed its most prominent features at a press conference after its presentation to President Abdel Fattah El -Sisi earlier today, Thursday.
Egypt announced earlier to raise the minimum wages in the private sector to 7,000 pounds per month, earlier in February.
Kjok said at a conference yesterday evening, Wednesday, that the new social protection package is divided into two parts:
- the first: Its application begins with the beginning of the month of Ramadan, which will come after hours until the end of the current fiscal year.
- the secondIts application starts from next July in conjunction with the beginning of the fiscal year in Egypt, and includes increasing wages and pensions.
The increase in wages comes within a broader package for social protection, which is expected to cost between 80 and 85 billion pounds (1.6-1.7 billion dollars), and it is scheduled to start in the new fiscal year at the beginning of next July.
The Minister of Finance stated that the number of beneficiaries of salaries is about 4.5 million workers, whether inside or outside the budget and about 13 million families in pensions.
He pointed out that the procedures that will be taken will address all groups, led by doctors and teachers, noting that from the next fiscal year the periodic allowance for those who address the Civil Service Law will be about 10% with a minimum of 150 pounds, while those who are not addressed will be 15% such as cadres such as education, health and others with a minimum of 150 pounds.
Temporary package
In addition, a temporary social protection package is scheduled to be implemented between 35 and 40 billion pounds (692-791 million dollars) during the period from March to June.
This package includes an increase in the country’s ration cards allocations to support 10 million families of the most needy during the next March and April.
The true value of the minimum wage declined over time despite previous increases.
The government raised the minimum wage 50% to 6 thousand pounds in February 2024, which was then equivalent to $ 194.
Enlargement
The Egyptians have faced high inflation rates since early 2022 in the wake of the outbreak of the Russian -Ukrainian war, which led to the withdrawal of foreign investors billions of dollars from the Egyptian treasury bills.
The annual inflation rate in Egyptian cities was 24% last January, a slight decrease from 24.1% in the previous December.
Egypt faces an extended economic crisis and a chronic deficiency in the foreign currency, which prompted the country to request a loan of $ 8 billion from the International Monetary Fund to achieve stability in its economy.
Egypt, according to the agreement with the Fund, committed to maintaining the flexibility of the exchange rate, reducing the role of the state in the economy, and enhancing the participation of the private sector.
