CAIRO, Nov 7, 2012 (AFP)
CAIRO, Nov 7, 2012 (AFP)
Egypt may reach a loan deal with the International Monetary Fund next month, but it would be for $4.5 billion (3.5 billion) rather than the $4.8 billion hoped for, Finance Minister Mumtaz al-Said said on Wednesday.
Said said he expected “a final deal to be reached in the middle of December,” the official MENA news agency reported.
He had told state news paper Al-Ahram in an interview published on Wednesday that the deal for the crucial loan could be concluded by early January, but “with a slight decrease to $4.5 billion.”
Following a visit by IMF Managing Director Christine Lagarde in August, officials started working on a proposed plan to support the economy, which has been beset by serious difficulties since the 2011 uprising that ousted former strongman Hosni Mubarak.
Political instability has triggered serious difficulties for Egypt’s major revenue earner, tourism, and led to a drop in foreign investments, worsened the budget deficit and sparked social conflict.
The central bank’s currency reserves plunged, threatening Egypt’s ability to import commodities and support the Egyptian pound
