Minister of Finance Youssef Boutros Ghali described as positive his talks in the United States with officials of the US administration, the World Bank (WB) and the International Monetary Fund (IMF). Ghali, who headed an Egyptian delegation to the WB and IMf bi-annual meetings, said IMF chief Rodrigo Rato hailed economic reforms in Egypt. He said that the economic indicators for the year 2005/2006 showed that the Egyptian economy was expected to achieve steady growth rates.

"The IMF chief also applauded efforts of the Egyptian government to lower the unemployment rates" he added. IMF official said that the unemployment rate was expected to decrease in the coming two years. Ghali said that economic reform returns were covering expenses, citing an increase in tax revenues despite a 50 % decrease in its rates.

He also quoted Rato as underlining IMF support for meetings of the G-B and Mideast countries, due to be held on the sidelines of the World Economic Forum in Sharm El-Sheikh in May.

US Treasury Secretary John Snow said that he will participate in the World Economic Forum as he supports Egypt's request to host the WB and IMF annual meeting for the year 2009.

Ghali said the IMF Deputy Chief Anne Kurueger is also expected to attend the meetings, leading a high-level delegation of experts. He said an agreement was signed between the WB and the Egyptian Finance Ministry to offer technical assistance for restructuring the pension system in Egypt and drawing up a new pension law.

Dr. Ghali said that programs of economic reform will focus on increasing returns through deepening the tax system, amending the real-estate tax law and law of additional value to replace the law of sales tax, restructuring the pensions system and activating participation of private sector.

29/4/2006