IMF loan favours Egypt economic reform schemes: Arab Banks Union

Egypt’s IMF loan deal is a vital step to support the country’s economic reform policies, said secretary-general of Union of Arab Banks, Wissam Fattouh on Friday.

Egypt announced a week earlier that it has reached a tentative agreement with the International Monetary Fund on a loan of $12 billion over three years. The IMF lifeline signals an opportunity for the Egyptian government to turn around the struggling economy, which has been propped up in recent years by over $25 billion in cash injections from Gulf states.

Wissam Fattouh made his remarks during De-risking Forum, which is running in Sharm El-Sheikh between 19 and 21 August, under the rubric “Enhancing The Supervisory and Regulatory Framework Related to Correspondent Banking, De-Risking”.

It is a significant accomplishment for the Egyptian government; and suggests a strong confidence in its economic reform programme, Fattouh said speaking about the IMF deal.

The De-Risking Forum is organised by the Union of Arab Banks, under the auspices of Egypt’s central bank.