Managing Director of the International Monetary Fund (IMF), Kristalina Georgieva, affirmed on Sunday that Egypt would receive robust ongoing support from the fund.
Speaking on the sidelines of COP28 in Dubai, Georgieva praised the efforts of Egyptian authorities in challenging conditions to prioritize assistance for vulnerable populations and create better opportunities for the private sector. She stated, “We’re working right now with the Egyptian authorities… I can say with confidence that Egypt will continue to enjoy strong support from the IMF.”
When questioned about the advancement of the IMF program in the first quarter of 2024, Georgieva responded affirmatively, stating, “Yes, soon.” However, specific details were not provided.
Egypt has been working towards completing the IMF’s four-year loan program, providing the country access to $3 billion in eight installments, with hopes to increase it to $5 billion. The IMF’s executive board approved the 46-month arrangement in December of the previous year under the Extended Fund Facility (EFF), with Egypt having received the first installment. The subsequent tranches, scheduled for March and September of the current year, were delayed.
In November, Georgieva mentioned that the IMF was considering expanding Egypt’s loan program due to ongoing economic challenges and the impact of the Israeli-Gaza war. In October, she noted that Egypt would deplete its reserves unless it devalued its currency once again, commending the positive steps taken by the country to address the severe economic crisis. Since March 2022, Egypt has devalued its pound currency three times, leading to a loss of over 75 percent of its value against the U.S. dollar.
