Egypt Prepares to Pilot Performance-Based Budgeting in FY 2027/2028
Egypt is set to begin the pilot implementation of a performance-based budgeting system at the start of fiscal year 2027/2028, as part of government efforts to modernize public financial management and improve the efficiency of state spending.
The preparations were discussed during a meeting chaired by Deputy Prime Minister for Economic Affairs Hussein Eissa, with Finance Minister Ahmed Kouchouk and Planning and Economic Development Minister Ahmed Rostom, along with senior officials from both ministries.
The meeting focused on the final preparations required to launch the new budgeting approach, including the implementation timeline, institutional and technical requirements, joint coordination mechanisms, and training programs designed to strengthen the capabilities of government employees.
Eissa said the shift toward performance-based budgeting would enhance the government’s ability to monitor spending and evaluate results by linking financial allocations to measurable performance and development outcomes.
He added that the move is part of a broader government effort to modernize administrative and financial systems, alongside digital transformation and efforts to simplify procedures and strengthen transparency.
Kouchouk noted that the new approach is consistent with Egypt’s Unified Public Finance Law and the State’s General Planning Law. He said the Finance Ministry is continuing its coordination with the Planning and Economic Development Ministry to complete the requirements for implementation.
For his part, Rostom said performance-based budgeting would strengthen the link between financial resources and development programs through measurable performance indicators. This would allow government entities to better monitor implementation, assess outcomes, and align public spending with national development priorities.
The government said the initiative is part of efforts to establish an integrated system for planning and monitoring public expenditure, in line with Egypt Vision 2030 and the country’s sustainable development objectives.