Egypt investment minister says new Gulf aid is unconfirmed

Ahram Online, Wednesday 15 Oct 2014

Egypt has yet to identify how it will cover the aid it is returning to Qatar

Ashraf Salman
Egypt's Investment Minister Ashraf Salman (Photo: Reuters)

Egyptian investment minister, Ashraf Salman, told Al-Mal daily newspaper that the news of an additional $5 billion in Gulf aid is not officially confirmed.

Salman said that Sultan Ahmed Al-Jaber, Minister of State in the United Arab Emirates, told him over the phone that he made no statement regarding such aid.

Following a visit of Al-Jaber earlier this month, anonymous Egyptian officials told media outlets (Ahram Online among them), that  Saudi Arabia and the UAE will deposit LE35 billion ($5 billion) in the Central Bank of Egypt in two installments starting this month.

The Egyptian minister said he does not have any information about new aid. However, he expects that discussions on covering the Qatari deposit will take place.

Concerns about Egypt's foreign currency position have been mounting as Egypt will be returning $2.5 billion in deposits to Qatar in November after having returned $500 million earlier this month.

Qatar offered Egypt some $7.5 billion in financial aid during Islamist president Mohamed Morsi’s year in power. 

However, Egyptian-Qatari relations soured after Morsi’s ouster Qatar and did not renew its deposit after the due date.  

Egypt will have returned all Qatari aid after November's payment.

After Morsi's ouster, the UAE, Saudi Arabia and Kuwait showered Egypt with billions of dollars in support of the new regime.  

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