Egypt: the IMF grants $1.7 billion to support ongoing economic programs

The payment comes after the completion of the seventh review of the program supported by the extended fund facility. It also follows the examination of a second component dedicated to strengthening economic resilience and sustainable development viability.

The IMF has praised the progress made by the Egyptian authorities on the macroeconomic front. The institution especially noted the efforts made to stabilize the economy and improve the country’s key financial balances.

At the same time, the Fund called on Cairo to accelerate the implementation of structural reforms. These measures should contribute to enhancing the role of the private sector and creating conditions for more sustainable growth.

Reforms Still Awaited

The program supported by the IMF outlines a series of measures aimed at reducing Egypt’s economic imbalances. It also aims to improve public finance management and strengthen the country’s capacity to withstand external shocks.

The international financial institution believes that the authorities must continue their efforts to ensure greater flexibility of the exchange rate. It also emphasizes the need to limit state intervention in certain economic activities.

The new disbursement comes as Egypt continues to face significant financing needs. The country is seeking to preserve its foreign reserves and contain the pressures from the cost of debt servicing.

The IMF indicated that the continuation of its support would depend on the fulfillment of commitments outlined in the program. Future assessments will therefore need to measure progress made in economic and structural reforms.