"We passed legislation to rebuild our infrastructure, build a clean energy economy, and bring manufacturing back to the United States."
business21 hours ago
The International Monetary Fund has approved a deal that will provide a $3 billion support package to cash-strapped Egypt over a period of almost four years, with the agreement expected to draw in additional $14 billion in financing for the Middle East country.
The announcement from the IMF's executive board late on Friday comes after a preliminary agreement was reached in October between Egypt and the fund, hours after Egypt's central bank introduced a series of reforms, including a hike in key interest rates by roughly 2 percentage points.
The Egyptian economy has been hard-hit by the coronavirus pandemic and the war in Ukraine, events that have played havoc with global markets and hiked oil and food prices worldwide. Egypt is the world’s largest wheat importer, most of which came from Russia and Ukraine. The country’s supply is subject to price changes on the international market.
The deal — known as an Extended Fund Facility Arrangement — is expected to cover a period of 46 months and will give the Egyptian government immediate access to about $347 million, which will help the debt-ridden economy nation bolster its balance of payments and budget, the IMF said.
The statement said the package is expected ‘’to catalyse additional financing of about $14 billion from Egypt’s international and regional partners.
According to the IMF, the package will introduce wide-sweeping economic reforms, including a ‘’durable shift to a flexible exchange rate regime'' and a ‘’monetary policy aimed at gradually reducing inflation.''
It also envisages structural changes to the Egyptian economy to rebalance ‘’the playing field’' between the state and private sector, IMF said.
For months, Egypt has been battling spiralling inflation, with its yearly rate reaching over 18 per cent in November.
For decades, most Egyptians have depended on the government to keep basic goods affordable through state subsidies and other similar schemes. About a third of Egypt’s 104 million people live in poverty, according to government figures.
"We passed legislation to rebuild our infrastructure, build a clean energy economy, and bring manufacturing back to the United States."
business21 hours ago
The group's billionaire chairman, Gautam Adani, and seven other people were charged with agreeing to pay around $265 million in bribes to Indian government officials
business1 day ago
For RAK, this project brings significant economic potential
business1 day ago
HRE Development also unveils Skyhills Residences 3
business1 day ago
In this environment, nobody expects to pay the full price for items
business1 day ago
An on time opening in Q1 2027 anticipated
business1 day ago
The registration process has been streamlined into four main steps that will take approximately 30 minutes to complete
business1 day ago
The conglomerate has weathered previous allegations of impropriety
business1 day ago