What awaits the Egyptian pound after tomorrow’s meeting of the International Monetary Fund?

The Executive Board of the International Monetary Fund will meet tomorrow, Friday, as part of its periodic meetings, to discuss Egypt’s request for a $3 billion loan.

The Egyptian finance minister expected the IMF to approve the funding, which was agreed to be $3 billion, in December 2022.

Egypt’s finance minister said Egypt is expected to receive the first tranche of a $750 million loan from the International Monetary Fund later this month.

Tomorrow’s meeting of the International Monetary Fund will take place amid high expectations in the Egyptian market of the results of this meeting and its impact on the future of the pound against the dollar exchange rate, as well as anticipation of an extraordinary meeting of the Central Bank of Egypt on interest rates.

And if the fund approves funding for Egypt, it is expected to help calm the state of confusion caused by the shortage of hard currency and the dollar’s rise to unprecedented levels.

The approval of the loan by the fund will allow Egypt to receive an additional $5 billion in funding from international and regional organizations, in addition to another $1 billion from the International Monetary Fund’s Sustainability and Sustainability Facility.

And the fund previously agreed at an expert level, on October 27, to provide a loan to Egypt, and Dr. Mohamed Maait, Minister of Finance, said at a meeting in the presence of Prime Minister Mustafa Madbouli that an agreement had been reached with the International Monetary Fund, which includes financing in $9 billion, explaining that Egypt will receive $3 billion from the Fund and another $1 billion from the Sustainable Development Fund, in addition to another $5 billion from other partners.

The Minister of Finance confirmed during a press conference today, Thursday, that the agreement contributes to providing financial liquidity and meeting needs after discussing financial policy with the International Monetary Fund. It is paid and received in stages over 6 months.

Source: Cairo 24