Madbouly said last month that… IMF He requested a postponement of his fourth review of the loan, which was scheduled to be completed on or after September 15, one of eight reviews in the 46-month program, which has been increased in size to $8 billion.
The Fund first approved the loan program in 2022 before increasing its size this year after high inflation and a severe shortage of hard currency led to a severe economic crisis in… Egypt.
Madbouly later said that the talks with the International Monetary Fund during the Fund’s annual meetings in October did not include additional financing, but aimed to re-evaluate Egypt’s commitments, goals, and timing.
Madbouly said during a press conference today with Fund Director Kristalina Georgieva that the review, which would allow Egypt to disburse $1.2 billion, will begin on Tuesday, indicating that consultations will be held between Georgieva and President Abdel Fattah El-Sisi.
Madbouly stressed mutual cooperation with the International Monetary Fund, adding that Egypt “expects more successful and fruitful partnerships in the coming period.”
Georgieva also praised the Fund’s cooperation with Egypt and highlighted the current global challenges.
She indicated that the International Monetary Fund’s discussions with Egypt within days will also discuss ways to support Egyptian goals in the field of transition to a green economy and Egypt’s access to facilitating resilience and sustainability in pursuit of this effort.
Egypt had requested funding within the framework of the Resilience and Sustainability Facility since 2022, as it hopes to obtain up to an additional billion dollars.
Each of the first three reviews had allowed Egyptian authorities to obtain $820 million, and the third review was completed at the end of July.
When the Fund completed its third review, it said that inflationary pressures had begun to gradually ease, the foreign exchange shortage crisis had been addressed, and fiscal targets had been achieved, including those related to spending on huge infrastructure projects.
He also stressed the need to make further efforts to accelerate the implementation of the program to divest from state-owned companies and implement the necessary reforms to prevent them from using unfair competitive practices.
