Egypt: IMF Demands More Reform Before Cash Release

Egypt is in line to receive the first $2.5bn tranche of a three-year, $12bn loan (MEES, 23 September) from the IMF by early November.

But this can only happen once the IMF board meets to discuss the loan. And before this happens, “in relation to both exchange rate [liberalization] and [cutting] subsidies there is still a little bit of implementation to be had,” IMF chief Christine Lagarde said on 8 October in Washington.

Speaking the previous day IMF regional director Masood Ahmed said that Egypt and the IMF are close, but not quite there, on “wrapping up the financing required for the first year [of the program]… hopefully more than the first year.” (CONTINUED - 1023 WORDS)