The logic is simple: increased spending on mega-projects, financed by high-interest debt, has allowed the military to rapidly expand its economic footprint, while the repayment of debt is financed through the appropriation of public resources, which is in turn financed by a regressive taxation system.
related posts
114 sats \ 0 replies \ @Satosora 3 Jul
Its going downhill faster than here.
Is their president able to stay in office forever if he is re-elected?
"The competitiveness of the Egyptian economy has not improved, nor has its industrial base."
Can you imagine spending 10 years in office and just erroding the country away?
I bet soon it will start selling of bricks of the pyramid!
reply
76 sats \ 0 replies \ @IamSINGLE 4 Jul
I listened that there's a new government formation there. The reappointed Prime Minister Mostafa Madbouly with his new government has an uphill task of lowering inflation that climbed to record levels last year because of boosting investment. Egypt's sovereign dollar bonds have surged in the news. That's a positive.
What I feel that the new government has to deal with many problems including Gaza war and power cuts. It will be interesting to see how they go about everything now.
reply
54 sats \ 0 replies \ @DiedOnTitan 4 Jul
Quite curious on @lynaldencontact take on this article and situation. Lyn wrote "Broken Money" - which in my opinion is leagues better than Saifedean's "The Bitcoin Standard" which is quite similar in that both books lay out the history of money, the problems with fiat, the case for hard money, and the rationale for Bitcoin.
In her book, and elsewhere, Lyn says that she spends much time in Egypt with family. Being a macroeconomic expert with Egyptian heritage, she will have a very good perspective on this.
reply
54 sats \ 0 replies \ @TheBTCManual 4 Jul
Bro but we're building a new capital city bro, its economically stimulative bro, please bro, we'll pay you back bro.
reply
104 sats \ 0 replies \ @SatsMate 4 Jul
Egypt needs to walk away from the Egyptian Pound. I remember there was one day in the last 2 years where the Egyptian Pound lost 20% of its value OVERNIGHT! It has been staircasing down every couple months ever since. Insane corruption. Please look at this graph and let me know how an economy can thrive under this nonstop devaluation!
https://m.stacker.news/38145
reply
104 sats \ 0 replies \ @16d86e9daa 4 Jul
one of the main issue Egypt is having is the fact ,The country heavily relies on imports for food and energy, leading to a chronic shortage of foreign currency reserves. This dependency makes the economy vulnerable to fluctuations in global commodity prices and foreign exchange rates
reply
104 sats \ 0 replies \ @Tutankhamun 4 Jul
Yes I agree with you
reply
61 sats \ 0 replies \ @BitcoinAbhi 4 Jul
Agree
reply