Will Sisi's economic reforms succeed?

A little more than one year into his term, Egyptian President Abdel Fattah al-Sisi's economic policies and generous foreign aid seem to have had a positive impact on the economy, but many challenges remain.
Egyptian Republican Guard stand guard, as a cargo container ship crosses the new section of the Suez Canal after the opening ceremony of the new Suez Canal, in Ismailia, Egypt, August 6, 2015. Egypt staged a show of international support on Thursday as it inaugurated a major extension of the Suez Canal which President Abdel Fattah al-Sisi hopes will power an economic turnaround in the Arab world's most populous country. REUTERS/Amr Abdallah Dalsh REUTERS/Amr Abdallah Dalsh - RTX1NCNP
Egyptian Republican Guard forces stand watch as a cargo container ship crosses the new section of the Suez Canal after the opening ceremony of the new Suez Canal in Ismailia, Egypt, Aug. 6, 2015. - REUTERS/Amr Abdallah Dalsh
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Safiaa Mounir
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CAIRO — President Abdel Fattah al-Sisi has been ruling Egypt for more than a year now, during which the country's economy has reached a state of stability. During this period, the Egyptian government made decisions aimed at promoting economic reform and started lifting subsidies on petroleum products on July 4, 2014. Despite the relative improvement, there are still chronic problems afflicting the Egyptian economy, including the budget deficit.

Moody's raised its rating of Egypt's economic outlook from “negative” to “stable” in October 2014. In May 2015, Standard & Poor's upgraded its outlook for the country from “stable” to “positive.”

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