Egypt teeters on brink of economic ruin
(MIDDLE EAST EYE) – Last autumn, Egyptian President Abdel Fattah el-Sisi gave a speech in the New Administrative Capital in Cairo, the $300 billion project that will ultimately define his presidency. He said hunger was a small price to pay for progress: “If progress, prosperity and development come at the price of hunger and deprivation, Egyptians, do not shy away from progress! Don’t dare say: ‘It is better to eat.’”
This horrifying vision of hunger and deprivation is what awaits millions of Egyptians in the coming years. A decade after ascending to the presidency, Sisi has pushed the economy to the brink of collapse. The symptoms are everywhere. A severe debt crisis is strangling the state budget, the economy is heavily militarised, billions have been invested in white elephants with dubious economic benefits, and the crown jewels of the Egyptian public sector are up for sale to meet mounting debt obligations.
This all stems from the military’s desire to consolidate power and wealth in its own hands at any cost. This will have dire consequences that will be felt for generations – and recovery will take a mammoth effort.