Subsidies Strain Public Finances
Egypt has called for deeper international cooperation to address food security, warning that persistent high global food prices are placing heavy pressure on developing economies. Speaking at the opening of the first G20 meeting ever hosted in Cairo, Finance Minister Ahmed Kouchouk stressed that rising costs are straining national budgets and slowing growth across vulnerable nations.
Kouchouk noted that Egypt continues to expand agricultural land, boost crop productivity, and safeguard supplies of key food items. Despite these efforts, the government spends roughly 165 billion Egyptian pounds ($3.3 billion) each year to subsidise bread, oil, and other staples for more than 60 million citizens. The minister emphasised that such commitments, while vital for social stability, come at a significant fiscal cost.
Push for Investment and Fairer Food Systems
The minister urged international partners to mobilise resources for sustainable agricultural projects and to encourage greater participation from the private sector. He also reiterated Cairo’s support for global initiatives such as the G20’s Global Alliance Against Poverty and Hunger, pledging Egypt’s commitment to building more resilient and equitable food systems.
“We will continue pushing for more resilient and fair food systems,” Kouchouk said, adding that addressing food insecurity requires collective action that extends beyond national borders.
The three-day gathering, held in coordination with South Africa’s G20 presidency, brings together G20 members, guest countries, and international organisations to debate the economic and social dimensions of food security. Delegates are expected to explore both immediate measures to stabilise supplies and long-term strategies to insulate developing nations from future shocks.
By placing food security at the center of its first G20 engagement on home soil, Egypt is positioning itself as both a regional advocate and a test case: a country investing heavily in agricultural capacity and subsidies, yet seeking international solidarity to manage the mounting costs of feeding its people.