Egypt makes final payment to Qatar

04 July 2016

Central bank governor says $1bn has been repaid to Doha

Egypt has paid the final tranche of debt to Qatar amid rising tensions between the two countries.

Egypt’s central bank governor, Tarek Amer, told state news agency that $1bn had been repaid to the gulf country on 1 July. “The sum was the value of bonds launched by Egypt during the rule of [former] president Mohammad Mursi and was covered by Qatar National Bank,” he added.

It is understood that during Mursi’s rule Doha offered up to $7bn-worth of grants and deposits to support Egypt’s economy.

Since the ousting of Mursi in 2013 tensions between Cairo and Doha have increased as Abdul Fatah al-Sisi and his government continue to accuse Qatar of being a supporter of the Muslim Brotherhood.

Mursi has received a number of life sentences as well as being condemned to death. Charges against him included an espionage trial that accused his government of passing state information to Qatar.

Since taking office Al-Sisi has relied on Saudi Arabia and the UAE for financial support.

Egypt’s foreign currency reserves increased by $510m to reach $17.5bn in late May, according to the Central Bank.

Egypt’s reserves hit $36.5bn in 2010, months before the uprising that removed long-time president Hosni Mubarak.

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