Arab Today, arab today imf moves on 32bn loan to help egypt to avert crisis
Last Updated : GMT 21:09:51
Arab Today, arab today
Arab Today, arab today

IMF moves on $3.2bn loan to help Egypt to avert crisis

Arab Today, arab today

Arab Today, arab today IMF moves on $3.2bn loan to help Egypt to avert crisis

Cairo - Arabstoday

IMF officials hope to seal a US$3.2 billion (Dh11.75bn) loan to Egypt by next month, says the head of the mission visiting the country. How soon the funding flows will hinge on getting broad political support in Egypt for the loan and related economic plan and the country\'s ability to secure help from other donors, said Masood Ahmed, the director of the IMF\'s Middle East, North Africa and Central Asia department. \"The key for us is to ensure that the programme has broad political support to give confidence and ensure its implementation beyond the self-determined political transition,\" Mr Ahmed said in Cairo. A technical team from the IMF would follow Mr Ahmed\'s visit next week to work out more details about the deal, he said. If the talks progressed as planned, the agreement could be in place by next month, he said. Egypt needs the cash to help to stave off a fiscal crisis and bolster investor confidence in the economy. \"The overall aim is to provide macro-stability,\" Mr Ahmed said. \"The broad objective of the programme is to restore confidence in the economy and to create jobs, which Egypt needs now, particularly after anaemic growth. \"The second objective is to narrow fiscal and external imbalances, and the third is protect the most vulnerable households.\" Mr Ahmed would not comment on the details of the economic programme that Egypt\'s interim government has submitted to the IMF. It is believed to lay out reforms the government would make to support the funding. It is also expected to detail how the country intends to obtain aid from other donors to raise the estimated $11bn of external funding it needs in the next two years. Tax increases are believed to be part of the deal. The country may raise sales tax as well as levies on property, alcohol and cigarettes over the next five years to secure the funding, the Egyptian news website Ahram Online reported, citing a government document it had obtained. Central to the plan is the goal of cutting debt to about 60 to 65 per cent of GDP by 2016-2017, mainly through raising tax revenue and one-off sales, the website reported, citing the document. The IMF has for years pressed Egypt to reform its tax system to broaden the public revenue base. A rolling back of subsidies on fuel and other basic items is also believed to be coming. \"There seems to be three or four requests which seem to be very reasonable for any government to act upon,\" said Sherif El Kilany, the Middle East and North Africa tax leader at Ernst & Young. \"One challenge is the government is also facing the pressure of the street. Any changing in pricing of strategic goods will not be welcomed by the people.\" The reforms were unlikely to happen before presidential elections in May as the interim government lacked sufficient power, he said. The IMF, however, would be \"understanding\" , he added. \"This is really the key to changing legislation,\" he said. \"I don\'t expect changes to legislation until June 2012.\"

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today imf moves on 32bn loan to help egypt to avert crisis Arab Today, arab today imf moves on 32bn loan to help egypt to avert crisis

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today imf moves on 32bn loan to help egypt to avert crisis Arab Today, arab today imf moves on 32bn loan to help egypt to avert crisis

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today Zainab Fadel Oglu designs “Shakerin” mosque

GMT 12:13 2017 Thursday ,11 May

Zainab Fadel Oglu designs “Shakerin” mosque
Arab Today, arab today Seeks to move past rift with Israel

GMT 08:00 2017 Monday ,08 May

Seeks to move past rift with Israel
View News in Arabic - Business: نفط وبتروكيماويات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Mozambique's gas boom dream under threat

GMT 16:29 2017 Monday ,08 May

Mozambique's gas boom dream under threat
Arab Today, arab today Prepares to give stargazers an eyeful

GMT 13:38 2017 Monday ,06 March

Prepares to give stargazers an eyeful
Arab Today, arab today Jaguar displays XF Sportbrake line

GMT 14:36 2017 Monday ,08 May

Jaguar displays XF Sportbrake line
Arab Today, arab today BMW sees forecasts in reach

GMT 09:04 2017 Thursday ,04 May

BMW sees forecasts in reach
Arab Today, arab today Climate science: Bad news gets worse

GMT 08:48 2017 Saturday ,06 May

Climate science: Bad news gets worse
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday