Egypt’s President Abdel Fattah al Sisi met on Thursday upon his arrival in Dubai, to participate in the COP28 Summit, the Managing Director of the International Monetary Fund, Kristalina Georgieva.
Georgieva’s comments, during the Asia Pacific Economic Cooperation Summit on Friday, backed up media reports in October that stated that Egypt and the IMF were discussing implementing an increase of up to $5 billion
Highlighting the possible impact on tourism-dependent countries, Georgieva stressed that the uncertainty was a “killer” for tourist revenue inflows
The revision comes in light of recent comments by the International Monetary Fund’s Managing Director, Kristalina Georgieva, and Egyptian officials over the past week
According to people familiar with the discussions, Egypt is aiming to increase its Extended Fund Facility (EFF) loan from $3 billion to $5 billion, adding that the government is confident that it can address any obstacles related to the current package
"Egypt has succeeded. We are currently identifying the challenges to ensure its ability to make further progress and set a date for the review."
The IMF anticipates that consumer prices in Egypt will increase from 13.2 percent in the fiscal year ending in 2022 to 35.7 percent 2022/2023, followed by a decrease to 25.9 percent in 2023/2024.
Citing an official statement, Reuters reported that both the IMF and Egypt agreed to merge the reviews and expect a scheduled date before the end of 2023
The original date for the first review was initially set for March but was pushed to the end of June, with the second review originally slated for September
This is not the first time the IMF has delayed the review, which was originally slated for March 15, 2023. The source added that, while a new date hasn’t been scheduled, the review will be taking place sometime this year
Egypt’s economic agreement with the IMF faces delays as the government seeks dollar liquidity and encounters challenges in meeting agreed requirements.
Julie Kozack, Head of the IMF's Communication Department, spoke during a hybrid press briefing held on Thursday, welcoming the progress and emphasizing the significance of divestment in the Extended Fund Facility (EFF)-supported program
The deputy MD is set to attend the launch of IMF paper “Managing Fiscal Risks in the Middle East and North Africa” on Sunday. The launch is organized by the Ministry of Finance, the Economic Research Forum, and the IMF
These gains reflect the continued optimism among investors about the performance of the Egyptian economy.
“Egypt is working to restore investor confidence in an economy that was damaged by the repercussions of the Russian invasion of Ukraine,” according to Azour’s televised statements.
Egypt is preparing for a review of its $3 billion IMF loan in order to receive its second tranche under the Extended Fund Facility (EFF), however, Egypt and the IMF have yet to agree on a review date
In its report on global economic prospects, issued Tuesday, the IMF expected that inflation rates in Egypt would reach 21.6 percent during 2022/2023, declining to 18 percent in 2023/2024.
The Egyptian Minister is scheduled to speak at a number of events and discussion sessions, and to hold a number of bilateral meetings with multilateral and bilateral development partners.
It is scheduled that the value of the second tranche of the loan will be the same as the value of the first tranche, which is $347 million.
Egypt is "one of the innocent countries that were injured by mistake, and that the government did a good job in reforming the country's economy.