Egypt received inflows of $200 bln in 3 years since currency float

Egypt’s central bank governor Tarek Amer said on Tuesday the country had received foreign cash inflows of around 200 billion in three years since it floated the pound in November 2016.

Egypt has struggled to revive its economy since the 2011 uprising which drove away foreign investors and tourists, key sources of foreign currency. On November 3, 2016 it released its grip on the official exchange rate in an attempt to restore confidence and attract foreign currency inflows.

Ditching its currency peg also helped Egypt secure a $12 billion three-year loan from the International Monetary Fund to support an economic reform programme in late 2016. Under the IMF reform programme, the government introduced value-added tax, cut electricity subsidies, and sharply raised import duties.

Amer told an energy conference EGYPS in Cairo that Egyptian economy is in good condition after the implementation of the IMF-backed reform programme.