Luxor4u

Egypt are in advanced talks with Europe for a $800,000,000 loan to support the welfare system while going through the turbulent times and help support the people living in poverty. Yet more borrowed money. I presume they realize this and the multi billion dollar loan from the IMF has to be paid back. There has been no announcement of austerity measures and how Egypt will raise the money to pay all this money back. There may be some even more turbulent times ahead. This loan report can be seen on the site Egyptian Streets. It may be a good job that many do not own computers and never see these snippets of news.

Major Thom wrote: It may be a good job that many do not own computers and never see these snippets of news.

Well.....we can always rely on you to keep us abreast of the "news"

Keep up the good work

I don't suppose your average poor Egyptian has a computer or a clue about Egypt's economy but they'll have noticed the price rises across the board.

A mere drop in the ocean compared to the UK....
2015 UK government debt amounted to £1.56 trillion,

$800,000,000 sounds a lot but, even if targeted at Egypt's low income families, you're talking about $20 per person.

Or sustenance for 10 days.

Tesco would have difficulty in describing that little as helpful.

If we look at the initial loan requested and agreed during the Mubarak era, the I.M.F. set out the agreement as follows, 1). A freeze on all civil service pay rises for five years, allowing only interest free loans, and as a percentage of annual pay. 2). A new and increased form of V.A.T., and a more effective collecting system, similar to the U.K. method. 3). Full implementation of the new property tax. 4). A slight required reduction on subsidies but not to seriously effect the very poor.

The problem is, that was then, when the required loan was $3 Billion. Five years down the road the loan is now $12 Billion. As I warned on here then, I do so now again,.............there may be trouble ahead, but while.......................................... .

The difference is Dr at the time and still, the UK have a real and proper tax system that brings money into the coffers, and also they have industries supporting the economy and business's paying tax. Egypt has no income tax system, or any other form of tax system apart from tax at source, to bring money in. The money to repay these loans will have to come from somewhere.

Egypt does have an income tax system ask any Teachers etc.

According to government figures (for what they're worth) revenues from income tax amounted to 162 billion EGP in 2014/15 out of total tax revenue of 364 billion EGP.

There are,of course, enormous problems with the tax collection process and the substantial "black economy" goes largely untaxed.

http://english.ahram.org.eg/NewsContent ... ing-F.aspx

Yes its a big problem for them Newc.

Major Thom wrote:Yes its a big problem for them Newc.

Just curious (Keefy?)....how come your "posted from" flag is showing USA?

Has Trump called on you to help form his cabinet?

Well you know how some people like to pretend that they are somewhere else.

Are you suggesting that somebody is using a VPN?

Probably using a VPN, if not, then it could be a IP range that was once used by the USA but now used by EGYPT.

Sorry but your all wrong I am using a Dell Inspiron N Series, I have used Dell for years and update every 4 years.

New news out today:
£1,640,000,000,000: That's the record debt now owed by Britain...and it's up from £500bn a decade ago....

A mere drop I the Ocean compared to the USA. I was talkng to my cousin in Pensylvania a couple of days ago and her husband is sure the US deficit will rise further. Frightening!!

Who2 wrote:New news out today:
£1,640,000,000,000: That's the record debt now owed by Britain...and it's up from £500bn a decade ago....

Debt 1.7 trillion GBP?

Not to worry....our assets are around 8 trillion GBP.

And we can well afford the interest payments with a debt/GDP ratio of 90%.

I wish my personal finances looked as good

In my days as a financial advisor in the City, one of the most difficult tasks was curing clients of their primaeval fear of debt.

"Whoops a daisy" a blink of your you eye and it's up again.
Not to worry says' our very own finance expert MT....
http://www.telegraph.co.uk/business/201 ... ion-2020s/

Ps: A real and proper tax system ? really ? Not a system Iv'e ever been used to.