Economist, former government minister and rare voice of reason Ziad Bahaa Eddin presents a list of sensible suggestions for what Egypt should do, undo, and not do to right its sinking economic ship. Pity that they will almost certainly fall on deaf ears. This installment of our In Translation series is brought to you as always by the professional translation team at Industry Arabic.
El Shorouk newspaper, October 20 1015
One cannot describe the current economic situation as only a minor bump, one that we can deal with using the same tools and methods the state has grown accustomed to using over the past years, and which exacerbated the crisis in the first place. I am not referring here to the disturbances in the exchange market that recently grabbed the media’s attention: they are a symptom of an underlying sickness, the expression of deeper problems in the management of the economy. The principle of these problems are weak levels of investment, exports and employment and the rise in both internal and external public debt. The most important of these problems, though, is the government’s lack of clarity in its economic policy and the direction it intends to pursue. For citizens, the steady price increases, especially in food, the continuing decline in public services and the scarcity of employment opportunities are the real indicators of the Egyptian economy’s performance. For them, these issues are more important than figures for growth, reserves and the public debt.
We can, of course, blame the slowdown in world trade, global conspiracies, or the regional situation. None of these, though, are sufficient to explain the rapid worsening of the economic situation over the past few months. We can also demand that minister after minister step down or cabinet after cabinet be replaced every time there seems to be a slowdown or a failure or every time the media calls for an immediate change. However, the gravity of the current situation requires us to stop and reassess our position and to build a minimum of consensus around certain important priorities instead of searching for a scapegoat or trying to satisfy the media’s thirst for a new victim. Here is what I propose:Read More