Egypt Expands Takaful & Karama Cash Support to 73,000 More Families

Egypt is enhancing its commitment to social welfare through the expansion of the Takaful and Karama Cash Support Programme, a cornerstone of the country’s social protection initiatives. This year, the government, as stated by Minister Morsy, has allocated a substantial budget of EGP 41 billion to the program. This funding aims to support approximately 21 million citizens, impacting over 5.2 million families nationwide. This initiative underscores Egypt’s strategic efforts to fortify its social safety net and provide crucial support to its most vulnerable populations.

Strengthening Cash Support Programme

Launched in 2015, the Cash Support Programme is designed to assist Egypt’s most vulnerable populations, including impoverished families with school-age children, the elderly, and individuals with special needs, with a particular focus on those in Upper Egypt. Women, who represent the majority of the beneficiaries, are a key focus of this initiative, underscoring the program’s role in supporting gender equality in welfare benefits.

Responsive Adjustments to Economic Conditions

In response to escalating global commodity prices and a challenging economic environment marked by a foreign currency crunch and supply chain disruptions, Egyptian President Abdel-Fattah El-Sisi announced a 15% increase in Takaful and Karama benefits earlier this year. This adjustment is part of a broader social protection package aimed at mitigating the financial burden on Egyptian families, ensuring they receive between EGP 620 and 740 monthly to help cover essential living costs.

Expanding Budgets for Broader Impact

The government’s commitment to strengthening its social support frameworks is further evidenced by the increased budget for subsidies and social protection networks, which has risen to EGP 635.9 billion for the 2024/2025 fiscal year, up from EGP 529.7 billion in the previous year. This substantial increase reflects a strategic effort to cushion citizens against the heightened cost of living and to stabilize the economic well-being of the nation’s most vulnerable groups.

Egypt’s Leadership in Social Protection

According to a 2023 World Bank report, Egypt is recognized as a leader in social protection programs in the Middle East and North Africa. This distinction highlights the country’s proactive approach to developing comprehensive social safety nets that not only provide immediate financial assistance but also contribute to long-term social stability and economic resilience.

As Egypt continues to navigate economic challenges, the Takaful and Karama Cash Support Programme stands as a beacon of hope and a model of effective social policy. By continuously adapting its strategies and budgets to meet the evolving needs of its population, Egypt not only supports its citizens but also sets a precedent for social protection efforts globally. This ongoing commitment is crucial as the nation strives towards inclusive economic recovery and sustainable development, ensuring that all Egyptians have the support they need to thrive.

The robust expansion and significant funding of Egypt’s Cash Support Programme are central to the nation’s strategy for improving social welfare and reducing poverty. With a comprehensive approach and adaptable policies, Egypt is strengthening its social infrastructure and confirming its status as a global leader in social protection initiatives. This commitment not only supports the country’s most vulnerable populations but also sets a benchmark for effective social welfare programs worldwide.