IMF near to approve expansion of Egypt’s loan to $6B

CAIRO - 20 December 2023: Egypt is close to finalizing of an agreement with the International Monetary Fund (IMF) to enhance its current $3 billion rescue program. According to Bloomberg's sources, the program is expected to be expanded to around $6 billion.

These sources also mentioned the possibility of additional financial support from other international partners. However, the exact timeframe for reaching a final agreement remains uncertain.

In a recent interview in December with Asharq Bloomberg, IMF Managing Director, Kristalina Georgieva, announced that Egypt is on the verge of receiving comprehensive support for its economic reforms from the IMF.

Furthermore, in November, the IMF Managing Director expressed the organization's serious consideration of expanding Egypt's $3 billion Extended Fund Facility (EFF) due to the economic impact of the Israeli-Gaza conflict.

The negotiations between the Egyptian government and the IMF began in October, with Egypt expressing confidence in effectively addressing the associated program challenges.

In these discussions, informed individuals indicated that Egypt is actively seeking to raise its Extended Fund Facility (EFF) loan from $3 billion to $5 billion, as an initial target.