CAIRO - 30 March 2024: Egypt will receive the first installment from the International Monetary Fund's (IMF) loan next week, Prime Minister, Mostafa Madbouly, announced.
Madbouly added, during a press conference, that the Egyptian state is working on increasing dollar resources and rationalizing spending.
On Friday, the Executive Board of the International Monetary Fund (IMF) completed the first and second reviews of Egypt’s Extended Fund Facility arrangement with Egypt and approved an augmentation of the original program by about $5 billion (SDR 3.76 billion).
The IMF elaborated that this approval enables Egypt to immediately draw about $820 million (SDR 618.1 million). Egypt’s 46-month EFF arrangement was approved on December 16, 2022.
The Board noted that all but one of the quantitative performance targets for end-June 2023 were met. The Board approved the authorities’ request for a waiver for non-observance of the June performance criterion on Net International Reserves on the basis of corrective actions.
On March 6, the International Monetary Fund (IMF) and Egyptian authorities reached a staff-level agreement on a set of policies and reforms required to complete the first and second reviews under the Extended Fund Facility (EFF) arrangement.
The IMF loan has been augmented and increased to $8 billion instead of $3 billion "due to significant macroeconomic challenges that have become more complex to manage with the impact of the recent conflict in Gaza on tourism and Suez Canal receipts," according to the IMF statement.
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