Africa’s largest IMF borrower, Egypt is moving closer to unlocking about $1.6 billion in fresh International Monetary Fund financing after reaching a staff-level agreement that signals renewed confidence in Cairo’s reform programme despite pressure from regional conflict, inflation and high external financing needs.
The agreement covers the latest reviews of Egypt’s Extended Fund Facility and Resilience and Sustainability Facility.
If approved by the IMF’s Executive Board, Cairo will receive about $1.5 billion under the EFF and $136 million under the RSF, bringing total disbursements under the arrangements to about $7.2 billion.
The deal gives President Abdel Fattah el-Sisi’s government fresh breathing space as it tries to sustain an economic recovery that remains exposed to geopolitical tensions, energy import costs, portfolio flows and investor confidence.
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