Minister of Finance Mohamed Maait confirmed that the unified public finance law that was issued on Monday is a strong start towards the skilled management of the state’s public finances in the “new republic.”
It also reflects the qualitative leap in the legislative reforms implemented by the state through the new provisions introduced by the law that reflect the philosophy of financial performance based on automated systems in accordance with international best practices that focus on disclosure, transparency, and governance. This contributes to giving the budget more flexibility and making it more capable of achieving the economic and development goals of Egypt’s 2030 Vision.
Maait added that the unified public finance law, which integrates the government accounting laws and the state budget, takes into account a number of structural reforms represented in applying the programme and performance budgets in ministries, budget bodies, and economic bodies gradually over a period of up to four years, which contributes to strengthening the governance of the financial system and raising the efficiency of public spending and upholding the principles of accountability.
The law also defines medium-term budget frameworks for a period of three years following the budget year to ensure good financial planning, develop a future vision for the financial performance of the state’s administrative authorities, and re-use financial allocations in the following years if their disbursement fails during the approved year.
For his part, Deputy Minister of Finance for the Treasury Ehab Abu Aish indicated that the law allows for the expansion of the use of technological applications to enhance the governance of the state’s financial system in light of the transition to digital Egypt in line with the variables related to the electronic payment and collection system within the framework of the use of electronic signature systems and considering documents and outputs.
He added that the law contributes to the governance of the establishment of new funds and special accounts, as it stipulates that their creation should be by a law that defines their resources and uses.
Furthermore, he said that the Unified Public Finance Law was prepared by a working team at the ministry with the participation of a number of Egyptian experts after reviewing the best global and regional practices in managing public finances and using automated systems in the current financial legislation, explaining that the new law focuses on upgrading human cadres in the financial management of ministries and agencies.