CBE: $12 bn loan deal with IMF reached

Central Bank of Egypt Governor Tarek Amer said negotiations on a 12 billion dollar loan with the International Monetary Fund (IMF) delegation were crowned with success.

During a press conference of the CBE, Ministry of Finance and IMF delegation, Amer said the three-year loan will be part of a dlrs 21 billion Egyptian economic program.

Talks on the loan started four years ago, but it was suspended two years ago, he noted.

The IMF approval to lend Egypt reflects confidence in the Egyptian economy, he said, expecting that Egypt would get financial packages and more loans from other international 
IMF mission chief Chris Jarvis said an agreement was reached with Egypt at the experts level on the dlrs 12 bn loan.

The IMF board will take a decision in this respect within the coming weeks, he said.

Jarvis said Egypt faces difficulties and the government is aware of the importance of realizing swift economic reforms, upping growth rates, creating jobs and reducing budget deficit.

Under the reforms, Egypt will encourage investments, increase production, improve financial management, reduce inflation and pump investments into infrastructure.