Egypt to receive tranches of IMF, WB loans soon

CAIRO - 4 May 2017:Egypt could receive the second tranche of the International Monetary Fund (IMF) loan by mid-June, six weeks after the IMF mission, which is visiting Egypt from April 30 to May 11, concludes its work, Executive Director of the IMF Hazem el-Beblawi said on Thursday.


He said that the mission is currently following up with the government on the reform program and the measures needed to obtain the second loan tranche, worth $250 million.


After floating the local currency, introducing a value-added tax and slashing fuel subsidies as part of a comprehensive reform program, Cairo clinched a $12 billion extended facility loan agreement with the IMF to support the country’s ambitious reform program.


In November, the Central Bank of Egypt (CBE) received the first trance, worth $2.75 billion.


Meanwhile, Egypt is expected to receive the third installment of the World Bank (WB) loan in December, Vice President of the WB for the Middle East and North Africa, Hafez Ghanem, said on Thursday.


He told the press delegation accompanying the “Door-Knock” delegation in Washington, organized by the American Chamber of Commerce in Egypt, that the tranche will amount to nearly $1 billion.


Ghanem added that he will be visiting Egypt next week to meet a number of ministers and government officials to discuss some projects that are being executed with WB financing.


Egypt signed a $3 billion loan with the WB to support the government’s economic reform program. It received the first tranche of the loan in September, and the second in March.