Some of the solutions proposed for Egypt's economic problems

Some of the solutions proposed for Egypt's economic problems

    Will remain weak infrastructure most important barriers to starting the development process in Egypt, no doubt that Egypt needs in the next phase to intensify investment operations to raise the levels outlined infrastructure and focus on the implementation of projects that facilitate business performance and raise the competitiveness of the Egyptian economy, such projects should be given priority in the next phase. However, it should be noted that Egypt probably will not be able to assess the infrastructure alone, and will need substantial financial assistance to be able to, in this regard Egypt can use the facilities offered by financial institutions such as the International Finance Bank.

     There is no disagreement that the fight against poverty will be the battle of Egypt major at some point after the revolution, there is no doubt that the society in which more than 40% of the population of two dollars a day or less is a community facing a real crisis, how will Egypt be able to raise the income levels of each These? There is no way but to work to raise growth rates and increasing production levels and then raise incomes, a task unfortunately requires time and effort, however, Egypt today desperately need to resist popular demands to lift income levels for the time being, and to spread the spirit of national and responsibility to different categories of workers, and instill values ​​increase production and improve quality, and create a spirit of creativity and innovation among employees in various fields, and to raise awareness of the different categories that the increase in wages in order not to harm the levels of living must Antjoha themselves, not to give them state them from sources other than real, or rather the sources of inflationary bounce them in a negative thereafter. The problem is that many of those who stopped work, demanding more wages do not understand the rules of the game in the economy, in particular the conditions necessary for real increases in income levels. Any increase in wages by pounds must accompanied by a net increase in productivity equals pounds at least, in other words, the real increases in the wages of workers who will produce, not the government, so that the increases that come through the government, are in the most matter What is through more fiscal deficit in the budget, which is reflected in the increase in public debt levels, or through more printing money, and such increases as a result of one must teach those who pretend demanding increase in their wages, which inflation. Few workers who realize that the increases they received was already past harm them or benefit them, and it probably would have been better for the workers to continue the old wages without getting nominal increases in those salaries eroded thereafter by inflation. However, the reduction of demands increase access at the moment must be accompanied at the same time focus on fighting inflationary pressures, as a way to raise the purchasing power of citizens, particularly of people with limited income and fixed, and they are the most vulnerable to the negative effects of inflation.

   On the other hand, addressing the problem of unemployment will require Egypt need to adopt growth strategies and different production, which depends mainly on the availability of work item, so Egypt can deal with large numbers entering the labor market, and benefit from the comparative advantage offered by this situation now in the Egyptian economy The big goal of the licenses for the cost of this item. Egypt permission needs to adopt industrial strategies mimic those adopted by China, in order to face the pressures faced by the labor market, which plays where FDI inflows vital role, and to achieve that Egypt needs to provide a condensed set of incentives to foreign investment in the areas of productivity, which expands the industrial base of the Egyptian economy, based on local resources and capacity of human large, and at the same time resistance activities parasitic that generate huge amounts of money on those who out without adding growth a real in the productive capacity of the state, particularly the activities of land speculation and real estate and stocks.

    Egypt also need to modify the structure of the tax to be fairer by, and works to encourage investment in areas produced by another, and so as not to collect taxes primarily from groups with low incomes, as is now, and in all cases, where are the imposition of high taxes on transactions in parasitic activities and activities which are based on speculation, so you get the state the right to growth that occurs in the capital value of the assets breed parasitic incomes, rather than go completely to speculators, regardless of their nationality.

   Egypt needs also to amend the legislation on the activities of corruption and beatings with an iron fist by the corrupt, and hardware configuration independent and effective to deal with corruption, and a special task force to fight corruption, and so are open all files of corruption, be dealt with strictly, and regardless of personal suspected In doing exercise, for example file Sahara territory must open and make sure the state of the land allocated and sent to the purposes that have been allocated towards it basically, and stop the state from the sale of land, so allocate land for investment with continued state ownership to them, and serious state differentiate between who make those lands to its intended purpose already, and others who speculate on the sands of the desert in order to reap billions, without a real benefit the country.

    Egypt needs to check all their bureaucratic business climate, and facilitate these systems and the abolition of unnecessary steps or interest until at least enable local and foreign investors to work in a friendly business environment, and to be able to attract the necessary investments for the next stage in the quantities you need in areas that seek to their development, and so also eliminate the chances of corruption caused by bureaucratic complexity of the systems for doing business in Egypt.

   Egypt also need to raise liquidity International today more than ever before, and this requires the seeking authorities to lenders in order to exempt Egypt from the side of the debt list, or at least postpone the repayment and restructuring of this debt on the basis of better terms, especially and that there are doubts about the reasons for Egypt to borrow this money, and dials that have been directing this money to them, so that the process of raising the levels of international liquidity currently through borrowing will be costly too, and due to the high margin سيطلبه investors to lend to the state in such circumstances, especially that Egypt needs to borrow will be high. Egypt also need to encourage Arab funds to invest in Heliopolis, Egypt transparent, corruption-free. The shares corruption of previous governments, to poison the investment climate in Egypt and make it unfortunately climate is not valid for productive investment long-term, appealed foreign investment into areas unproductive or speculative rather than in the areas of real production, and such areas of investment did not help Egypt to deal with the problems of unemployment and inflation, as appropriate. New investment strategy Egypt must move away from, or does not encourage such, these investment activities yielding limited development. Egypt needs to build a wall of trust with investors in the real sectors of the economy, whether local or foreign investors, in order to provide incentives for them to invest hard in the fields and not producing sterile areas unproductive.

We have no doubt that Egypt after the January 25 revolution will not be like those that were before it, and that efforts youth and men who have this great revolution will focus on raising production levels in all sectors, informed by example for leaders coming, and their governments civilian democratically elected and enjoyed utmost transparency and integrity, and the men who put the interest of Egypt above all else, and manage the state's resources to serve the development and progress in the first foundation, and respect the fundamental rights of the citizen, and mourn justice, equality and equal opportunities for all, putting the mind to give maximum freedom for citizens to secure the powers creativity and their innovation. Such values ​​are needed by Egypt in the future to ensure the loyalty and dedication of its people and their contribution to ensure the progress of Egypt and put them in the ranks of emerging nations in the world

Economics articles:Egyptian economic problems and its Solutions 2

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