Chronic Underfunding: A Systemic Issue

For years, Egypt has struggled to prioritize education and healthcare in its national budget. While the government proclaims a commitment to these rights, the reality on the ground paints a starkly different picture. The current trajectory raises serious concerns about the long-term social and economic consequences for the nation.

Education Budget Cuts and Their Impact

In the fiscal year 2025-26, the Egyptian government allocated 315 billion Egyptian pounds (approximately US$6.3 billion) to education – a mere 1.5 percent of the country’s GDP and 4.7 percent of total government expenditure. This represents the lowest percentage allocated to education since at least 2019, according to Human Rights Watch analysis. Adjusted for inflation, education spending has decreased by 10 percent since 2024/25 and is a staggering 39 percent lower than in 2013/14.

Egypt’s 2014 Constitution mandates a minimum of 6 percent of GDP be dedicated to education. International benchmarks suggest a range of 4 to 6 percent of GDP and 15 to 20 percent of public expenditure. Egypt currently ranks in the 12th percentile among lower-middle-income countries, spending less than 88 percent of what comparable nations invest.

This underfunding manifests in critical shortages. Hundreds of thousands of classrooms are needed to accommodate the growing student population, and a similar number of teachers are required to provide adequate instruction. Public schools, despite constitutional obligations, often charge fees, effectively denying free primary education to many. In 2019, families spent, on average, 10.4 percent of their income on school-related costs, exacerbating inequalities.

Did You Know? The quality of public education is so compromised that many affluent families resort to expensive private tutoring to supplement their children’s learning, widening the gap between the haves and have-nots.

Healthcare System on the Brink

The healthcare sector faces equally dire circumstances. The 2025-26 health budget of 245 billion pounds (around $4.9 billion) equates to just 1.1 percent of Egypt’s GDP and 3.6 percent of total government expenditure. Spending has fluctuated between 1 and 1.4 percent of GDP over the past four years, falling far short of the constitutional requirement of 3 percent.

Inflation-adjusted health spending in 2025/26 is only 2 percent higher than the previous year but remains 4 percent lower than in 2022/23. When accounting for population growth, per capita spending has remained stagnant. Egypt’s health spending lags significantly behind international benchmarks, including the Abuja Declaration’s pledge of 15 percent of government expenditure and the World Health Organization’s recommendation of 5 to 6 percent of GDP for universal health coverage.

The consequences are readily apparent: a shortage of 75,000 nurses, an inadequate doctor-to-population ratio of 6.71 per 10,000 people (well below the WHO’s recommended 10), and a system where doctors are forced to personally purchase essential supplies like gloves and sutures. Low salaries and poor working conditions are driving healthcare professionals to seek opportunities abroad, with approximately 7,000 Egyptian doctors emigrating in 2023 alone.

The WHO estimates that over 57 percent of healthcare expenses in Egypt are paid out-of-pocket, creating significant barriers to access for those who cannot afford it. Recent legislation allowing private investors to manage public hospitals raises concerns about further privatization without adequate safeguards to ensure universal access.

What steps can Egypt take to reverse this alarming trend and ensure equitable access to essential services for all its citizens? And how will the continued erosion of public services impact the country’s long-term stability and development?

The government has falsely claimed adherence to constitutional spending minimums by including extraneous budget lines, such as debt servicing, in its calculations. In 2022, Egypt spent more than twice as much on debt servicing per capita than on healthcare.

Frequently Asked Questions

• What is the current state of education funding in Egypt?

  Currently, education funding in Egypt is critically low, representing only 1.5% of the GDP in the 2025-26 fiscal year. This is a significant decrease from previous years and falls far short of constitutional requirements.

• How does Egypt’s healthcare spending compare to international standards?

  Egypt’s healthcare spending is significantly below international benchmarks, at just 1.1% of GDP. This is far less than the 5-6% recommended by the World Health Organization for universal health coverage.

• What impact is underfunding having on the Egyptian healthcare system?

  Underfunding is leading to shortages of doctors, nurses, and essential medical supplies, forcing healthcare professionals to leave the country and increasing out-of-pocket expenses for patients.

• Is primary education truly free in Egypt, as mandated by the constitution?

  Despite constitutional mandates, many public schools charge fees, effectively denying free primary education to some families, particularly those with limited financial resources.

• What is the government doing to address the shortage of healthcare professionals?

  While the government acknowledges the issue, current measures are insufficient to stem the tide of doctors and nurses emigrating to seek better opportunities abroad.