Egypt said it received a fifth $2 billion tranche from the International Monetary Fund (IMF), bringing it one step closer to finalising the disbursements of a $12 billion loan package from the international lender.
In statements to the state run MENA news agency, an informed source at the Central Bank of Egypt (CBE) said the $2 billion tranche will be used to support the state’s general budget, bearing a positive impact on the country’s foreign reserves.
The tranche was received Tuesday evening following the approval of the IMF’s executive board of its fourth review of Egypt's economic reform programme, making the fifth tranche of the IMF's $12 billion loan available to the Egyptian authorities.
This brings Egypt’s total IMF loan disbursements to $10 billion since the first tranche was released in November 2016.
Minister of Finance Mohamed Maait said Tuesday that the approval of the disbursement came "as a result of the success of the country’s economic reform programme," which includes fuel and energy subsidy cuts, a value added tax, and a currency devaluation.