IMF emergency financing for Egypt mitigates coronavirus crunch
The International Monetary Fund has approved a nearly $2.8 billion loan for Egypt to address its economy, which has been hit hard by the coronavirus crisis.
The International Monetary Fund (IMF) has approved emergency financing for Egypt to help the North African country overcome the financial crunch caused by the coronavirus pandemic.
The IMF agreed May 11 to Egypt’s request for a nearly $2.8 billion loan to address the COVID-19 pandemic. The fund’s emergency assistance under its rapid financing instrument will be earmarked for urgent balance of payments needs stemming from the outbreak of COVID-19, said Rashad Abdo, head of the Egyptian Forum for Economic and Strategic Studies.
Economists say the IMF emergency funding will help mitigate the repercussions of the coronavirus on Egypt’s finances.
“The IMF’s financing facility is a good opportunity for Egypt, especially as its foreign reserves fell by $8 billion over the past two months,” Abdo told Al-Monitor.
