Engineer Ali Issa, head of the Egyptian Businessmen Association, said that the government should rearrange its economic priorities during the coming period to face the repercussions of the Corona crisis. Instead of targeting it to reduce the budget deficit, it must increase government spending to stimulate the economy, suggesting printing money to increase citizens ’ability to buy their requirements He also stressed the importance of the government’s work to reduce the companies ’production costs and increase their liquidity, proposing to issue exemptions to some periodic fees and taxes, and urging companies to reduce their expenditures to offer products at competitive prices that achieve profits without the need for discounts to motivate consumers to buy.
“Issa” explained to “The Seventh Day” his proposal to print money to increase the ability of citizens to buy, saying: “The Egyptian economy is currently undergoing deflation as a result of the Corona virus crisis, and there is no solution to address this deflation except by increasing domestic spending, by increasing citizens’ income,” Whether by granting or paying individuals ’debts to banks or increasing support to exporters to counter the expected dumping of imported goods as a result of weak domestic demand, noting that these proposals were presented by more than one international body and former officials.
Ali Issa, underestimated the impact of the rise in domestic debt as a result of his previous proposal, saying that the rise in external debt may cause trouble in the irregular payment of international lending institutions, unlike domestic debt, although it must work to reduce it, but in such crises it must We rearrange our priorities. Instead of working to reduce domestic debt, we must focus on stimulating the economy, adding: “There is no fear of domestic debt because the state is the one that condemns the state.”
The President of the Businessmen Association pointed out that the presidential initiative to stimulate local consumption and encourage the local product is good to stimulate the movement of trade in the Egyptian economy, and we hope that the discounts offered by the participating parties are real so that the largest number of consumers benefit.