Egypt to receive IMF loan disbursal of $1.25 billion today

CAIRO - July 2017: Sources at the Central Bank of Egypt (CBE) told MENA Thursday that Cairo will receive the final installment of the first tranche of an International Monetary Fund (IMF) later in the day.

The $1.25 billion disbursal, which will complete the first $4 billion tranche, was originally expected to arrive toward the end of June.

In November, Egypt received the first funding installment – an initial disbursal of $2.75 billion – following the floating of the Egyptian pound.

In 2016, the International Monetary Fund’s (IMF) Executive Board had voted in favor of Egypt’s loan which worth $12bn.

The CBE says the IMF’s loan proved success of the economic reform program. It includes the liberalization of exchange rate, reforming the tax system by applying a value-added tax (VAT), reducing fuel and electricity subsidies and reforming the state budget.