Egypt in talks with IMF for new timeframe: PM

Ahram Online , Wednesday 20 Dec 2023

The Egyptian government is in talks with the International Monetary Fund (IMF) for a new timeline for the loan deal, Prime Minster Mostafa Madbouly said in a press conference on Wednesday.

Man standing before IMF building in Washington. AP.
Man standing before IMF building in Washington. AP.


“There could be some ‘disagreement’ or ‘some type of dispute’ [with the fund ] regarding the ‘tactics’ of the Egyptian government,” Madbouly stated.

He stressed, however, that the government is fully coordinating with the fund on the economic reform programme.

Despite its relentless efforts to fulfil its commitments under the $3 billion loan deal with the International Monetary Fund (IMF), Egypt in 2023 was incapable, due to the complex economic situation, of meeting the conditions that the IMF had set to conduct the first and second reviews of the Egyptian economy to disburse further tranches of the loan as per the agreement with the IMF.

Egypt’s commitments to the fund include implementing a flexible regime for interest rates and exchange rates, enhancing the private sector's role, reducing debt and inflation levels to pre-pandemic figures by the end of the program, and offering stakes in 35 state-owned companies to strategic investors by 2024.

The country has strived to complete the four-year loan programme, which allows the country to access $3 billion in eight instalments, with hopes to increase the loan to $5 billion.

Short link: