Former Egyptian minister criticizes low pension rates amid high bank interest

Former Egyptian Minister of Insurance and Social Affairs Mervat El-Telawi has shed light on the difficulties she faced during her two-year term in office from 1997 to 1999. El-Telawi characterized her time as minister as a continuous series of challenges, highlighting the complex economic and political environment she navigated.

El-Telawi pointed to the prevailing economic conditions, noting that banks were offering interest rates as high as 17% during her tenure. This high rate suggests a period of significant economic activity or inflation that influenced financial markets and government policy.

In contrast, she expressed strong criticism towards the government's pension policies, specifically mentioning that pensions were granted a mere 4% interest rate. This disparity highlights a perceived imbalance in financial benefits and government priorities, with El-Telawi suggesting that pensioners were significantly undervalued compared to other financial instruments available at the time.

“

Banks were offering 17% interest... and the government gave pensions only 4%.