Moody’s says Egypt economy still recovering from 2011 uprising

Big 5

An international credit rating agency says Egypt’s economy has started to improve but has yet to recover from the 2011 uprising and the years of unrest that followed.

In a Tuesday report, Moody’s hailed recent economic and fiscal reforms, saying they point to improved government effectiveness and policy predictability, but said weak finances remain a key challenge for the government.

Egypt embarked on an ambitious economic reform plan shortly after President Abdel Fattah al-Sissi took office in 2014.

The government has slashed subsidies, imposed a value-added tax and allowed a currency devaluation in order to qualify for a $12 billion bailout loan from the International Monetary Fund.

Moody’s says Egypt’s sovereign rating, unchanged at B3 stable, indicates the country’s credit strengths and challenges are balanced. Source: AP