The IMF Approves The Allocation Of $5.2 Billion To Egypt To Overcome The Consequences Of The Pandemic
The Executive Board of the International Monetary Fund (IMF) has approved an annual loan of $5.2 billion to Egypt to overcome the effects of the spread of a new coronavirus, according to a statement issued on Friday by the press service of the IMF.
"The IMF Executive Board approved the allocation of $5.2 billion to Egypt for 12 months under the standby credit facility. This funding will help Egypt cope with the challenges of the CAVID-19 pandemic by meeting the needs of the balance of payments and financing the budget deficit, the text notes. "The program will preserve the achievements of the Egyptian authorities over the past four years [in the financial sector], cover the costs of health and social services to protect the most vulnerable groups of the population, and advance several key reforms."
The standby credit facility provides financial assistance to low-income countries with short-term balance-of-payments financing needs. It provides support in a variety of circumstances, provides for a higher level of access, a lower interest rate, can be used on a preventive basis, and pays more attention to the country's objectives in reducing poverty and promoting economic growth.
In Egypt, the number of people infected with a new coronavirus infection exceeds 60 thousand, 2,533 people died, and more than 16 thousand recovered.