Supervisor Elham AbolFateh
Editor in Chief Mohamed Wadie

IMF Discusses Providing Additional Financing to Egypt

Fri 08 Dec 2023 | 06:27 AM
Taarek Refaat

International Monetary Fund (IMF) spokeswoman Julie Kozack said in a press conference on Thursday that the Fund is in talks with the Egyptian government regarding providing additional financing within the framework of the current program.

Kozack added, "The exact size of the financing is part of the discussions that representatives of the IMF are conducting with the Egyptian authorities."

The fund considers increasing financing essential as the country is affected by the economic difficulties posed by the conflict between Israel and Hamas, “including the potential impact on tourism revenues,” according to Reuters.

Egypt has a program with the International Monetary Fund to obtain $3 billion that was agreed upon in December 2022.

Kozack explained that the talks will continue in the coming weeks to complete the first and second reviews of the extended financing facility program.

Last November, International Monetary Fund Director Kristalina Georgieva said that the Fund was “seriously considering” a possible increase in Egypt’s $3 billion loan program as a result of the economic difficulties resulting from the war between Israel and the Palestinian Hamas movement.

Georgivia said on the sidelines of the COP28 climate summit that Egypt has undertaken many reforms to the economy and this has created many opportunities for the private sector and its investments, in addition to government support directed to the people most in need. We discussed how we can support this approach.

She added: The IMF is one of Egypt's biggest supporters, and we know that it faces a special, major challenge due to the war taking place near its borders, as well as the crises in neighboring countries, but we appreciate the commitment that Egypt shows regarding economic reforms, and we are with them in this approach.