Economic

IMF agrees to fund Egypt with 5.2 billion dollars 

The International Monetary Fund agreed to fund Egypt with $ 5.2 billion, to meet the financing needs for the balance of payments resulting from the Corona pandemic. 

The fund, in a statement on Friday evening, said that approving the financing enables Egypt to withdraw two billion dollars immediately from the total financing, and distribute the remaining amount in two phases.

The new financing aims to help Egypt meet the challenges posed by the outbreak of the Corona virus, by providing the Fund’s resources to meet the needs of Egypt’s balance of payments and financing the budget deficit.

The program will also help the Egyptian authorities support health and social spending to protect vulnerable groups, and to promote a set of major structural reforms.

The public finances of Egypt were affected by the outbreak of the virus, so the public revenues resulting from the decline in domestic demand decreased, and the health expenses resulting from the outbreak of the virus in the country increased.

As a result of the virus, foreign exchange reserves fell by $ 9.5 billion until the end of last May, to $ 36 billion, down from an average of $ 45.5 billion until February.

IMF agrees to fund Egypt with 5.2 billion dollars 

last month, Egypt received 2.77 billion dollars in emergency financing from the International Monetary Fund, according to the official Middle East News Agency, quoting a senior source at the Central Bank.

Since Corona’s outbreak in Egypt, the Egyptian authorities have taken several measures to counter the virus, including suspending flights, closing schools, universities, mosques, and churches, stopping public interests, reducing employment, and imposing a partial curfew, etc. Despite the funding that the Egyptian authorities receive from abroad, they neglected medical teams Did not provide protection requirements in addition to the lack of beds in intensive care, which caused huge numbers of deaths and injuries in citizens and doctors.

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