Muslim Brotherhood seeks more details on IMF loan

Egypt’s Muslim Brotherhood, the country’s largest political force, on Tuesday held off from backing a request for a loan from the International Monetary Fund, urging more government transparency.

The Brotherhood’s “Freedom and Justice” Party said it met with an IMF delegation in Cairo to discuss the loan which is aimed at relieving Egypt’s economy, in crisis since a popular uprising last year.

Mohammed Mursi –FJP head- said “does not have any reservations against dealing with the IMF or any other international institution where Egypt is a member,”

Mursi added “The party would certainly accept any help from these institutions in any way that would serve public interests”.

However, the Islamist party, which dominates parliament, said the government “has not yet submitted a plan of economic measures relating to the loan” and did not say “how this loan will be used, or how it will be paid off.”

“The loan will be a burden on the shoulders of Egyptian people, who have the right to know how it will be spent and how it will be paid off,” Mursi said.

The IMF is seeking assurances from the Muslim Brotherhood that it would back the loan, as AFP stated.

Egypt had spurned an IMF loan last year but has since changed its mind amid a stalling economy.

Egypt’s foreign currency reserves have fallen while the budget deficit increased due to public spending.

As well as the IMF loan, Egypt has sought one billion dollars from the World Bank and 500 million dollars from the African Development Bank.