CBE: Egypt to Return $3 Billion to Qatar Late 2014

An official source at the Central Bank of Egypt (CBE) said Thursday Egypt will return $3 billion worth of bonds to Qatar upon coming due later this year.

Egypt will return $500 million and $2.5 billion to Qatar in October and November respectively, the source was quoted by Reuters as saying.

Cairo’s relations with Qatar deteriorated after the Egyptian army deposed Islamist President Mohamed Morsi on July 3. Qatar had been a firm backer of Morsi’s Muslim Brotherhood and lent or gave Egypt $7.5 billion during the year he was in power.

During the second half of 2013, Egypt returned $3 billion to Qatar after talks to convert the amount into three-year bonds failed.