(Courtesy of IMF’s website)
(Courtesy of IMF’s website)

Egypt Seeks Support From IMF to Implement Comprehensive Economic Program


Egypt has requested support from the International Monetary Fund (IMF) to implement a comprehensive economic program, in attempt to boost the country's economic stability amid the Russo-Ukrainian war, the fund stated yesterday.

"The rapidly changing global environment and spillovers related to the war in Ukraine are posing important challenges for countries around the world, including Egypt," said Celine Allard, mission chief for Egypt.

She added that a set of macroeconomic measures and structural policies would mitigate the impact of this shock on the Egyptian economy, protect the vulnerable, and maintain Egypt's resilience and medium-term growth prospects.

"Continued exchange rate flexibility will be essential to absorb external shocks and safeguard financial buffers during this uncertain time. Prudent fiscal and monetary policies will also be needed to preserve macroeconomic stability," Allard said.

Egypt secured a $5.2 billion Stand-By Arrangement (SBA) with the IMF in June 2020, which followed shortly after a $2.8 billion emergency loan that was provided under the IMF's Rapid Financing Instrument (RFI).