03 Mar 2022

The Minister of Finance revealed that all of the government’s digital transformation projects are expected to be completed by June 2022. These projects are aimed at increasing the effectiveness and efficiency of all government activities, enhancing governance and transparency, while also vastly improving the quality of service delivered to citizens.

One of the key digital transformation projects is the GFMIS (Government Financial Management Information System), which links budgeting entities to the CPS (Collection & Payment System) and the TSA (Treasury Single Account). One of the benefits of this system is that it allows for closing the final accounts of the budget on the same day that the fiscal year ends, and implementing the new budget from the first day of the new fiscal year. This greatly strengthens the management of public finances by integrating and controlling all the government’s financial operations through a single unified IT system.

Other projects include Meeza cards for paying salaries to government employees, which also advances financial inclusion as the cards can be used like traditional bank cards. As well, the tax and customs systems are being completely modernized, automated, and integrated with the other government IT systems. One of the results of these projects has been through the electronic invoice system, which detected over 15,000 cases of tax evasion, of which EGP6bn in otherwise lost tax revenue was recovered from just 4,300 of those cases. Overall, the new digitized tax system has raised tax revenues by about 13%.