Egypt - IMF approves $2.77 bn in emergency pandemic aid
Tuesday, 05 12 2020, Category: Economy, Country: Egypt
The International Monetary Fund on Monday said its executive board approved $2.77 billion in emergency financing to help Egypt grapple with the new coronavirus pandemic that has brought tourism to a standstill and triggered major capital flight.
The IMF said it remained closely engaged with the Egyptian government and the Central Bank of Egypt, and stood ready to provide further support as needed.
IMF First Deputy Managing Director Geoffrey Okamoto said Egypt would need “additional expeditious support” from multilateral and bilateral creditors to close its remaining balance of payments gap, ease the adjustment burden, and preserve Egypt’s hard-won macroeconomic stability.
Egypt’s Health Ministry reported 346 new cases of the novel coronavirus on Monday, bringing the total number of confirmed cases to 9,746, including 533 deaths.
The outbreak has led to the shutdown of Egypt’s tourism sector, a key source of foreign revenue, and threatens income from the Suez Canal and remittances from Egyptian workers based abroad. Egypt’s foreign reserves have fallen to $37 billion from more than $45.5 billion at the end of February.