The state pays due attention to enhancing the social life of Egyptian citizens and granting them the chance to contribute to the promotion and advancement of the society. In the meantime, the state guarantees citizens rights to expression and labor on one hand and safety and security on the other.

 

 In addition, the state provides all forms of care to all citizens. Since its establishment in 1939, the Ministry of Social Affairs provides services for Egyptian citizens through a set of programmes and projects ultimately aiming at creating a strong society capable of making life on Egypt's land.

 

Since the early eighties, the social responsibilities of the state have increased, especially towards the under-privileged and low-income brackets. At present, Egypt's social map has changed and the private sector became an efficient partner with the public sector and the civil society in promoting the economic activity. Concomitantly, the state's role has developed from direct interference to supervision, guidance and follow-up.

 

Egypt, now, is on the threshold of a new social decade, reflecting new intellectual orientations that cope with the age developments, a new decade that represents an integrated programme that mainly aims at protecting citizens's social freedoms and rights and enhancing the efficient participation between the state and different sectors within the framework of transparency. This could be attained through raising economic growth rate, providing more job opportunities and presenting direct subsidy to the under-privileged and low-income brackets.

 

In December 2005, a new ministry of social solidarity was established, taking the competences of supply and social affairs ministries; while social insurance affairs became under the competency of the Ministry of Finance. The Ministry of Social Solidarity aims at:-

- Decreasing the number of poor families at a rate of 50% by the advent of 2015.

- Meeting the needs of families and citizens at an increasing rate targeted to reach 85%

- Increasing the participation of the civil society and the private sector to reach 80%.

 

Subsidy is a major issue that tops the state priorities. In this vein, many achievements were scored as follow:-

- A national project was initiated for establishing databases about subsidy eligible beneficiaries.

- About 16.5% of the total of governmental expenditure in 2005/06 was allocated for subsidizing commodities and services.

- Subsidy of supply commodities rose to LE 9.7 billion in 2005/06.

- Subsidy of bread hits LE 7.1 billion in 2005/06.

- Subsidy of electricity reached LE 3.2 billion. This amount is mainly meant to subsidize low-consumption rates, benefiting low-income brackets.

- Subsidy of petroleum products rose to LE 22.1 billion in 2005/06. In addition, the state affords LE 29 of the total price of each butane gas cylinder and keeps low prices of both gas oil and gasoline.

 

The first law on Social Security was issued in 1950. Then, law No. 30 of 1977 was issued, amended by Law No.88 of 1966. By virtue of those successive legislations, the state is fully committed to supporting and sustaining low-income brackets. The Ministry of Social Solidarity exerts ceaseless efforts to extend insurance coverage to all citizens and maximize the number of insurance beneficiaries. Social security system regulates the provision of the following services:

- Monthly cash aid,

- One-package aid;

- Financial assistance to retired employees;

- Relief aid, and

- Children pension

 

- A new draft law on social security was drawn up.

- The number of social security pension beneficiaries rose to 1,300,000 families in 2005/06.

- Each family benefiting from the social security pension is offered a LE 20 for each son in primary education monthly. In case of plurality of children, each is granted the scholarship value with a maximum of LE 100 monthly per family as of 1/10/2005. The number of children benefiting from it totals 1.9 million at a cost of LE 30 million.

- Increase the allotments of the social security programme at a steady rate, hitting 80% during the fiscal year 2005/06.

- Allocating LE 990 million for the social security pension budget.

- Number of beneficiaries of the Social Development Fund loans reached 370,700 during the period (1998-2005), targeted to finance more than 362,000 projects. During the period under review, total loans disbursed from the Social Development Fund hit LE 4.1 billion, thus creating 864,8000 job opportunities.

 

- Family guidance and consulting offices aim at enhancing family cohesion and solving their problems, concomitant with providing guidance and consultative services. The number of these offices reached 180 and about 14799 citizens benefited from them in 2005/06.

- Implementing a number of 78 projects, benefiting family and children in 2005/06 at a total cost of LE 182,500, in addition to providing an additional financial support estimated at LE 6,473,600 for the activities and projects that serve families and children.

- Adopting a number of projects for the development of the Egyptian child, being Egypt's basic human asset. To this end, strenuous efforts were exerted to increase the number of nurseries, libraries, child clubs and parks and centers for developing rural children in addition to the early childhood development project that is being implemented in cooperation with the Bernard Van Lir Institution.

      

-The State provides special care to children with difficult circumstances through increasing the number of lodging nurseries, promoting the substitute care families project, facing up the phenomenon of child labour and providing care for working children.

 

 - Providing utmost care for basic education drop-outs. To this end, the state established a number of vocational formation centres, totaling 71 in 2005/06, in addition to 3 centres under construction. Number of children enrolled in these centres reached 3243 and number of graduates 1214.

 

The State pays due attention to rehabilitating people with special needs to be engaged within the society so as to be productive citizens, not a burden on others.  To this end, a number of programmes and mechanisms were devised, namely the establishment of 158 social rehabilitation offices. Unprecedentedly, a number of mobile rehabilitation units were established in different governorates in 2005/06. In addition, a number of 16 rehabilitation projects were implemented.

The number of rehabilitation projects reached 12 in 2005/06, benefiting 819 cases with special needs in Safour village. Deyarbnegm town (Markaz), al- Sharkia governorate. These projects were implemented in cooperation between Social Solidarity Directorate and the Japanese International Cooperation Agency (JICA).

The State provides annual aid totaling LE 174, 900 for central institutions and organizations working in the field of social rehabilitation. In addition, the State is keen on granting scholarships to blind male and female university students and providing an additional financial support of about LE 2.5 million for rehabilitation institutions. The number of non-governmental organizations in the field of rehabilitation reached 460.

 

-            Youth represent one of Egypt's invaluable assets that insures the effective participation in achieving sustainable development and advancing into a promising future. In 2005/06, nine social cultural clubs were established, thus bringing the total number to 547, benefiting three million young men and women. In addition, 144 courses were held to rehabilitate youth at social and cultural clubs and train them to handicrafts in nine directorates, benefiting 5266.

-            In 2005/06, 1557 seminars of different topics were organized for raising the awareness of youth, benefiting 233688.

-            In 2005/06, total number of young graduates assigned to the one-year public service totaled 44483, of which 4646 are cases with special needs working in different walks of life through 13349 social service units. Out of this total number, 37500 were recruited to teach in classrooms of combating illiteracy under the supervision of the General Authority for Combating Illiteracy and Adult Education. In addition, 52550 are charged with conducting the population census during the period from 1/11/2006 to 31/12/2006.

-            The number of hostels reached 200, benefiting 16688.

 

The State devises a number of policies and plans with the aim of meeting the needs of the elderly people, being part and parcel of the society. In 2005/o6, number of elderly homes reached 104, benefiting 3097, elderly clubs 159, benefiting 26853, elderly service offices 27, benefiting 6337 and physiotherapy units 52, benefiting 1258.

 

The State extends its care and attention to all categories. On top of its priorities comes the following:-

-         Providing financial aid for families whose income was negatively affected, at a total cost of LE 5, 264, 000, benefiting 6165 families.

-         Providing an amount of LE 27, 072, 000 for a number of 87721 of militants' families.

-         Providing an amount of LE 747, 869 for a number of 2901 families of martyrs and injured civilians.

-         Paying compensations due to those afflicted by the disaster of Al Salam Ferry Boat Salam 98 and the huge fire that broke out in Beni Sweif theatre.

 

-         Since its inception in 1964, this project aims at developing the economic resources of low-income categories. In 2004/05, the number of the project beneficiaries hit 1, 852, 962 families. In 2005/06, more than 11896 families joined the project.

-         In 2005/06, number of cottage families projects totaled 32733 and total of loans granted for such projects reached LE 2985720. Number of marketing families hit 78060.

-         Number of productive families preparation centres reached 337 centres and number and number of trainees 49589. Number of cottage families domestic exhibitions hit 103, in addition to the annual exhibition “Deyarna 2006”, during the period 11-18/6/2006. The value of their products, including garments, carpets, rugs and handiwork reached LE 256724 and the value of sales hit LE 504210,57. In addition, many exhibitions were held in 27directorates on many occasions, with sales totaling LE 8770051.

-         Two cottage families preparation centres were finished in al-Daqahleya and Aswan governorates at a cost of LE 680,000. Nine centres were expanded in Giza, Qalyubia, Beheira, Menufia, Ismailia and Suez governorates at a cost of LE 180,000 while seven centres were replaced and renovated in Port Said, Beni Sweif, Fayyoum, Marsa Matrouh Menya, Red Sea and Luxor at a total cost of LE 240,000.

 

In 2005/06, number of non-governmental organizations hit 21558, out of which 1195 work in the field of eliminating illiteracy, with a total cost of LE 2901915, of which about LE 59571 are governmental financial aid. Revenues of the Fund for Supporting Associations, Unions and Civil Institutions hit LE 37761872.

 

These associations aim at promoting local communities, removing obstacles that hinder development, making optimal use of available potentials and resources to implement developmental projects and coordinating with national or international bodies concerned with development issues. In addition, these associations provided rotating loans to a number of 2101 cases, including fresh graduates, bread-winner women and poor families. In addition, 48 projects were carried out by 48 associations with a total cost of LE 1,720,000 in 11 directorates. Furthermore, 10 productive projects were implemented, benefiting 2000 with a total cost of LE 422,000. An additional financial aid of about LE 5 million was provided for these associations.

They include consumption associations, totaling 105 and productive associations totaling 14.

They total 26. In 2005/06, 8 institutions were approved to receive donations and grants.

 

-         Nasser Social Bank was established pursuant to Law No. 66 of 1971 with the aim of expanding the social solidarity base through granting soft loans and aid for low-income brackets. In addition, Nasser's Bank contributes to carrying out banking and investment activities.

-         The Bank started with a capital estimated at LE 1.2 million that rose to LE 650 million on June 30, 2006, relying on its self resources. The Bank has 89 branches, 49690 Alms-raising committees and social solidarity capital estimated at LE 552 million.

-         Total rotating loans provided by the Bank for low-income categories reached LE 32.7 million, benefiting 18822 cases.

-         The Bank provided LE 9.6 million for a number of 7235 projects for acquisition of means of production by Alms (Zakat) beneficiaries.

-         Total proceeds of Zakat collected through Alms-raising committees and the Bank branches in 2005/06 hit LE 128.6 million. Total Alms amounted to LE 116.7 million disbursed in their legitimate channels, benefiting 63210.

-         The Bank provided LE 92.8 million for enhancing the Small-Scale Projects Programme, benefiting 16200 and LE 11 million for supporting productive projects and fresh graduates projects, benefiting 2893.

-         The Bank provided LE 143 million for buying furniture for newly married couple's apartments, benefiting 13415.

-         On June 30, 2006, the Bank's contribution to establish investment companies reached LE 263.3 million and yielded revenues totaling LE 44  million.

-         The Bank provided LE 433 million, benefiting 4972 for the acquisition of means of transportation and agricultural equipment.

 

In 1973, the Ministry of Social Insurance was established for the first time in Egypt , with the aim of extending insurance coverage to all citizens . Within the framework of an integrated programme to reform the pension  system , the Authority of Insurance was merged with the Ministry of finance to ensure a more efficient management of insurance funds and redraft the pensions law.

In 2005/06, the state contributions to the pensions funds totalled about L.E11billion .The number of insured people rose from 10.3million to 19.2 million. Insured people are now permitted to benefit from the private insurance system concomitant with the govermental insurance system.

 

The value of disbursed pensions rose to L.E9.25 billion.

Numbr of pensions and eligible beneficiaries rose from L.E3.9 million to 7.6million . The number of pension disbursement outlets increased and new services were introduced to alleviate suffering of the elderly people , such as the pension home delivery service and incrasing the number of Automatic Teller Machines (ATM).

The state provides care for manpower ,enhance their efficiency, develop their productive capabilities and widen their knowledge to keep pace with the successive technological development and meetthe requirements of the labour market .In2005/06,workforce hit 21.8million and expected to reach 22.4 million in 2006/07 at a growth rate of 2.8 percent.Thus ,number of unemployed would drop from 2.1 million in 2005/06 to 2.08 in 2006/07.In 2005/06, number of employees reached 19.7million .In this vein ,Ministry of Manpower and  Immigration realeases a monthly bulletin of recruitement to brief youth and job – hunters of the available job apportunities at home and abroad. 

Number of Egyptians working abroad hit 784912 on June 1,2006, out of which 347824got a work license for the first time while 437088 renewed their licenses.

The state pays due attention to develop vocational training to cope with the labour market requirements.

Ministry of Manpower and Immigration ,in coopereation with its Canadian and American counterparts ,embark onto modernizing and developing employment offices and paying due attention to those who work in sea, mines, bulding and agriculture fields.

 

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