Egypt’s business digest Nov. 12: IMF bailout for Egypt seeks major reduction in public debt
IMF general director Christine Lagarde - REUTERS
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By THE CAIRO POST

CAIRO: No more browsing from site to site, view the top business news stories on Nov.12 here:

IMF bailout for Egypt seeks major reduction in public debt

(Reuters) The International Monetary Fund said on Friday that its $12 billion bailout program for Egypt aims to reduce the country’s public debt-to-GDP ratio by almost ten percentage points by the end of the program’s third and final year.

In a statement following board approval of the loan program earlier on Friday, the IMF said the program also aims to eliminate foreign exchange shortages by liberalizing the exchange rate system, contain inflation and strengthen social safety nets by increasing spending on food subsidies and cash transfers.

 

Egypt central bank gets $2.75 bln from IMF, FX reserves rise to $23.3 bln -state tv

 

(Reuters) – The Central Bank of Egypt received $2.75 billion from the International Monetary Fund on Friday, increasing its foreign reserves to $23.3 billion, state television said.

The amount is the first tranche of a three-year, $12 billion loan to Egypt from the IMF. The Fund’s board approved the loan agreement earlier on Friday.

 

Price of Gold declines to 560 EGP on Saturday

Price of gold decreased by 20 EGP on Saturday due to the increase of international price of gold as one gram of the 21-carat gold is sold for 560 EGP for, Youm7 reported.

Previously, the price hiked to 620 EGP for 21-carat gold after the U.S. dollar boomed against the Egyptian pound in the parallel market. However, the Egyptian government has floated the Egyptian pound in a way to get rid of the parallel market; also the devaluation of the Egyptian currency caem in light of austerity measures to secure getting the IMF’s 12$ billion loan to the Egyptian government.

 

 

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