By Ebi Kesiena
Egypt’s new Cabinet was sworn in on Wednesday, as the country struggles with a faltering economy and escalating conflicts in neighboring regions.
Prime Minister Mustafa Madbouly, who has been in office since 2018 will lead the new Cabinet, which includes significant changes, especially in defense and economy-related positions. Some ministers, such as those responsible for police and tourism, retained their posts.
This reshuffle occurs amid growing public dissatisfaction following years of economic mismanagement, the COVID-19 pandemic, and the impact of conflicts in Europe and the Middle East.
A Western-backed reform program, initiated in 2016 and supported by President Abdel Fattah el-Sissi, has led to soaring prices due to austerity measures. Official figures indicate that nearly 30% of Egyptians currently live in poverty.
Finance Minister Mohamed Maait, who has been in office since 2018, was replaced by his deputy Ahmed Kouchouk, a former World Bank economist who played a significant role in implementing the International Monetary Fund’s reform program.
Earlier this year, the government floated the Egyptian pound and significantly increased the main interest rate. Commercial banks are now trading the U.S. dollar at over 47 pounds, up from around 31 pounds. These measures aim to combat rising inflation and attract foreign investment.
Egypt has been striving to revive its lucrative tourism sector, which has been severely affected by years of turmoil, the pandemic, and recent conflicts in Europe and the Middle East. In the new Cabinet, Sherif Fathy, a former civil aviation minister, replaced Ahmed Issa as Tourism and Antiquities Minister.
Recurring power cuts during the scorching summer months have been another major issue for the country of over 106 million people. Consequently, Mahmoud Esmat was appointed to oversee the electricity ministry.
The ministers, their deputies, and provincial governors took the oath at a presidential palace in Cairo before President Abdel Fattah el-Sissi, who was elected in December for a third six-year term. El-Sissi tasked Madbouly with forming the new government last month.
This Cabinet reshuffle comes three months after el-Sissi was sworn in for his third term. The former defense minister was first elected president in mid-2014 and reelected in 2018. Constitutional amendments passed in a 2019 referendum extended el-Sissi’s second term by two years and allowed him to run for a third, six-year term.