Dubai, United Arab Emirates (CNN) – The International Monetary Fund agreed on Friday to disburse a second tranche of aid to Egypt, worth $ 1.6 billion, as part of the economic reform program it supports.
On June 26, the International Monetary Fund approved a 12-month support program worth 3763.64 million SDR units, equivalent to about $ 5.2 billion, with the aim of supporting the economic reform program that the authorities have put in place to confront the Corona pandemic crisis.
The total amounts spent under the program so far have reached about $ 3.6 billion.
Commenting on the statement, Antoinette Sayyet, Deputy Director-General and Acting Director of the Council, said that the Egyptian authorities had dealt “well with the Covid-19 pandemic and the associated disruption in economic activity. The proactive measures taken were to address health and social needs and support sectors most affected by the crisis in a manner.” “Directly, they helped mitigate the economic and humanitarian impacts. The slowdown in growth is still less severe than expected, and foreign market conditions have improved with the return of portfolio investment inflows strongly.”
Sayyet also indicated that some risks “still surround the economic prospects, especially as the prospects of a second wave of the pandemic increase the feelings of uncertainty about the pace of the economic recovery at the local and global levels,” adding that the high level of public debt and total financing needs “cause exposure Egypt faces the risks of global financial conditions, but continuing to implement strong policies will enhance the resilience of the economy and help maintain investor confidence. “
