Egypt asked the International Monetary Fund to increase the fourth tranche of the loan to $2 billion instead of $1.3 billion, which is scheduled to be disbursed after the completion of the review currently being conducted by the Fund’s team in Cairo, according to two high-ranking government officials who spoke to Al-Sharq on condition of anonymity.
The Fund began the fourth review of Egypt's economic reform program at the beginning of this month, in preparation for disbursing a $1.3 billion tranche of the Fund's loan, which represents the largest among the various tranches.
Egypt, with a population of more than 106 million people, agreed in March to increase the value of the loan from the Fund to $8 billion, as part of a broad global rescue operation for its economy, as it had been suffering since early 2022 from a severe foreign exchange crisis, and since then, The authorities imposed sharp cuts in subsidies for fuel, bread and electricity, increasing pressure on citizens already facing hardship.
One of the officials indicated that the Egyptian government requested an increase in the value of the fourth tranche that will be disbursed after the review, after it accomplished more than what was required of it during the current review.
Kristalina Georgieva, Director General of the International Monetary Fund, during her visit to Egypt ahead of reviewing the loan agreement, praised the difficult economic reforms implemented by the government amid regional turmoil, noting that Cairo has shown “clear resilience” in difficult times, and that recent steps have provided its economy with “strong barriers” against… External shocks.
Last May, the International Monetary Fund Board approved the disbursement of the third tranche of the Egypt support program 820 million dollars.
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