The International Monetary Fund Executive Board has approved Egypt’s request to acquire a $5.2 billion loan under a standby agreement to address the impact of the COVID-19 pandemic.
The fund’s approval allows Egypt to obtain $2 billion immediately, while the remainder will be phased over two reviews.
The loan also aims at anchoring inflation expectations and preserving exchange rate flexibility.
Egypt is looking to broaden and deepen structural reforms begun under the Extended Fund Facility , but the COVID-19 pandemic has temporarily refocused government priorities to address the economic and health crisis.
