Egypt Daily News – Egyptian Prime Minister Mostafa Madbouly assured citizens on Wednesday that the government would refrain from imposing new financial burdens in the near future.
Speaking during a press conference following a Cabinet meeting, he noted that there is an understanding with the International Monetary Fund (IMF) regarding this commitment.
Madbouly indicated that the IMF committee commenced its work as of the previous day and will continue for two weeks.
Earlier this week, Madbouly had announced the start of the fourth review of the IMF program in Egypt, which began on Tuesday.
He explained that the review would facilitate the disbursement of $1.2 billion, part of an expanded program totaling $8 billion. This review is essential among eight scheduled evaluations.
The Egyptian president recently hinted at the potential need to reassess the extended loan program if international institutions do not adequately acknowledge the unique regional challenges facing the country.
According to the IMF’s latest regional economic outlook report, Egypt’s GDP growth is anticipated to reach 4.1% in 2025, up from about 2.7% this year, assuming a de-escalation of the Israel-Gaza conflict and continued reform efforts in the country.
Regarding inflation, the IMF forecasts that Egypt’s inflation rate will drop to around 16% by the end of the 2024/2025 fiscal year, a notable decrease from approximately 40% recorded in September of the previous year. This high inflation has been attributed to the depreciation of the Egyptian pound and a shortage of foreign currency, a significant issue for a nation that heavily relies on imports for its food requirements.
