Experts explain reasons behind Fitch affirming Egypt’s “B” rating
The decision by the global credit rating agency Fitch to affirm Egypt’s rating at “B” with a stable outlook has been welcomed by economic experts and academics, as well as the Finance Ministry, which emphasized that the Egyptian economy has once again demonstrated its resilience and ability to absorb shocks amidst regional turmoil. The ministry … The post Experts explain reasons behind Fitch…
Economic experts and academics have welcomed Fitch's decision to maintain Egypt's credit rating at "B" with a stable outlook, as reported by Egypt Independent. The Finance Ministry emphasized the country's resilience amid regional turmoil, citing consistent, proactive policies that led to a 5.1 percent growth rate in the 2025/2026 fiscal year.
The ministry highlighted the growth in manufacturing, telecommunications, and information technology sectors, as well as a 27 percent increase in tax revenues without new tax burdens. However, the ministry acknowledged high debt-service costs as the main challenge, noting that the debt-service bill will decrease once interest rates drop.
Experts such as Alia al-Mahdy, Amr Youssef, and Abdel-Rasoul Abdel-Hadi discussed factors contributing to Fitch's decision, including foreign currency reserves, the economy's ability to absorb shocks, and the significant increase in tax revenues. Despite the positive outlook, experts cautioned that significant risks remain due to the high level of public debt and its associated servicing costs.
Written by urgent.news from Egypt Independent's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.