The latest projection is 2 percentage points lower than the fund's April estimate, the IMF said in its latest Middle East and Central Asia Economic Outlook.
Ramakrishnan added that the IMF supports Egypt in its efforts to mitigate the coronavirus economic fallout on the most affected sectors.
Abu El Naga clarified that the first tranche worth $2 billion.
IMF said it expected the global economy to shrink 4.9 percent this year — a sharper contraction than the 3 percent it predicted in April.
In its World Economic Outlook for June, the fund expected Egypt and China to achieve a positive growth in 2020 despite economic challenges posed by the novel coronavirus pandemic.
This decline in growth in 2020 is expected to be followed by a partial recovery, with the growth seen at 5.4 percent in 2021.
IMF financing will provide some support for Egypt's foreign reserves and portfolio flows may be stabilizing.
On the $6 billion financing package expected from the IMF, Deputy Governor of the Central Bank of Egypt (CBE) said that negotiations haven’t ended yet.
The loan, which will be paid back over a period of five years, comes as part of the the Rapid Financing Instrument (RFI) program.
The Executive Board of the International Monetary Fund (IMF) approved Egypt’s request for emergency financial assistance of SDR 2,037.1 million ($2.772 billion)
The International Monetary Fund on Monday said its executive board approved $2.77 billion in emergency financing to help Egypt.
"We know this crisis isn’t going away anytime soon," Gopinath said. "Things can get worse. The health crisis has not been solved."
In April, Egypt's Prime Minister Moustafa Madbouli asked the IMF for financial support to help the country deal with the new coronavirus outbreak.
The minister was addressing the House of Representatives' Plan and Budget Committee that convened to discuss the outlines of the fiscal year 2020/2021 plan.
President Abdel Fattah El Sisi expressed Egypt’s keenness to push forward prospects of bilateral cooperation at all levels, particularly the economic one.
The report affirmed that the immediate concern for the IMF is likely to be the exchange rate.
Negotiations do not require travelling to the Fund's headquarters in the American capital, Washington, due to the flight ban as a result of the consequences of the spread of COVID-19 (coronavirus).
Georgieva added that the Central Bank of Egypt has also implemented timely measures to support the domestic economy.
Rami Abulnaga told MENA that negotiations are still underway to reach the agreement, set to be divided into two packages.
Egypt Today reviews goals behind this request according to the announced data.