IMF concludes initial talks with Egypt for loan

19 January 2012

Meetings held with military council and Muslim Brotherhood for bailout loan

The International Monetary Fund (IMF) has said that it has concluded “productive” talks with Egypt on a potential loan to the troubled country.

Egypt approached the IMF seeking support for its economic programme, having turned down $3bn a loan from the IMF in June 2011.

At the end of meetings in Cairo, IMF director of the Middle East and Central Asia Department, Masood Ahmed, said: “We have had productive initial talks with the authorities on a possible IMF-supported programme to help stabilise Egypt’s economy, restore confidence, lay the foundations for job creation and ensure that vulnerable households are protected during the transition. This initial visit will be followed by technical work during the coming weeks, both in Cairo and in Washington.”

“The programme has been developed by the Egyptian authorities and its key policies are currently being discussed with emerging political parties to ensure broad political support. This should help reduce uncertainty and boost confidence in the programme’s successful implementation.”

During the visit, the IMF representatives met with the economic committee of the Muslim Brotherhood’s Freedom and Justice Party, as well as the interim government, the Supreme Council of the Armed Forces (SCAF).

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.