The International Monetary Fund is holding ongoing discussions with Egypt to reach an agreement on its lending (Al Jazeera)
International Monetary Fund spokeswoman Julie Kozak said Thursday that there is “excellent progress” in talks with Egypt to strengthen the Fund’s loan program.
Kozak added, in a press conference, that there is a need to provide “comprehensive support” to help Cairo deal with the pressures imposed by the refugee issue from Gaza due to the war launched by Israel on the Strip.
She said that the Fund team and the Egyptian authorities agreed on the main elements in amending the program within the framework of the first and second reviews that were combined for Egypt's current loan amounting to $3 billion, and that "the authorities expressed a strong commitment" to it.
Kozak refrained from discussing the details of the Egyptian package because negotiations are still ongoing.
Regarding the pressures that the issue of asylum from Gaza imposes on the talks, Kozak said: “There is a need for a very comprehensive support package for Egypt, and we are working closely with both the Egyptian authorities and their partners to ensure that Egypt does not have any remaining financing needs and also to ensure that the program is able to stabilize the economy.” Macro and financial stability in Egypt.
"The largest investment deal"
In this context, Egyptian Prime Minister Mostafa Madbouly said in a statement today that the government is currently working to terminate the agreement with the International Monetary Fund, and is continuing its procedures approved by the state ownership policy document, in terms of empowering the private sector and increasing its opportunities for participation in... Development sectors.
In its meeting today, the Council approved the largest direct investment deal through an investment partnership with major entities, according to an official statement that did not specify the nature of the investment, the project invested in it, or the investing party.
Egyptian Prime Minister Mostafa Madbouly said that this major investment deal, which is being carried out in partnership with major entities, achieves the state’s development goals, which were set by the National Strategic Plan for Urban Development, indicating that this deal is the beginning of several investment deals that the government is currently working on, To increase the state's hard currency resources.
The Prime Minister explained that the full details of this deal will be announced, with the signing of its agreements.
Madbouly pointed out that the projects resulting from this deal will provide hundreds of thousands of job opportunities, and will contribute to economic recovery, as well as the participation of various Egyptian companies and factories in the implemented projects, and multiple advantages for Egypt.
Madbouly stressed that this major deal, and others, and the large amount of cash liquidity it will provide in hard currency, will contribute to the stability of the foreign exchange market and improve the economic situation.
Source: Al Jazeera + agencies