Egypt’s Finance Minister Mohamed Maait said that the state revenues soared by 35.5% in Q1 of FY 2018/19, putting the government on track to achieve its targeted primary budget surplus of 2%, Invest-Gate reports.

Government investment grew 85% in the same period, while tax collection accelerated by 39.8%, Maait noted in a ministerial statement on November 23, adding that the budget deficit in Q1 of the current fiscal year was down slightly to 1.9% from 2% last year.

“These positive results for the first quarter of the current fiscal year affirm Egypt’s ability to achieve its financial targets for the budget for the current fiscal year,” the minister stated.

Maait attributed the results to Egypt’s economic reform program that came as part of the USD 12 bn loan deal signed with the International Monetary Fund (IMF) in late 2016.

Egypt’s economy was hit hard since the 2011 events which drove tourists and foreign investors away, but recently the economy has shown signs of recovery.

Planning Minister Hala El-Saeed said earlier in November that Egypt’s economy grew by about 5.3% YoY during Q1 of FY 2018/19.

The country’s growth rate for FY 2017/18 hit its highest level in ten years, posting 5.3% against 4.2% in the previous fiscal year.