Arab Monetary Fund in US$65 million loan to Egypt
Source: BI-ME with Reuters , Author: Posted by BI-ME staff
Posted: Sun June 17, 2012 12:48 pm

EGYPT. The Arab Monetary Fund (AMF) said on Sunday it was arranging a US$65 million credit facility for Egypt to help the country trade with other Arab states, as political instability threatens Cairo with a balance of payments crisis.

The credit line will be extended through a trade financing programme run by the AMF, central banks and other financial institutions in the region, said the AMF, a multilateral lending body with 22 member countries.

Egypt's balance of payments deficit ballooned to $11 billion in the first nine months of its 2011-2012 fiscal year, more than double year-ago levels, as inflows of capital largely dried up.

Cairo is seeking aid from a wide range of international donors; Egyptian officials said in February they had asked for $500 million each from the AMF and the African Development Bank, $1 billion from the World Bank and $660 million from the European Union. But aid has generally been slow to arrive, partly because donors have been cautious about lending while Egypt's political outlook remains unclear.

Farouk el-Okdah, Egypt's central bank governor, said at a meeting of AMF and regional central bank officials in Abu Dhabi on Sunday that the capital and revenues of Egyptian commercial banks were strong. "We are in a better position now," he said without giving figures

 

MIDDLE EAST BUSINESS COMMENT & ANALYSIS

date:Posted: November 25, 2014
INTERNATIONAL. In the end, it is unlikely that the territorial Islamic State can survive. The truth is that Turkey, Iran and Saudi Arabia are all waiting for the U.S. to solve the problem with air power and a few ground forces. These actions will not destroy IS, but they will break the group's territorial coherence.
date:Posted: November 25, 2014
BAHRAIN. The "increasingly deregulated and competitive economic environment is facilitating rapid growth in business development within the private sector."
date:Posted: November 25, 2014
INTERNATIONAL. Participants in the global oil market are eagerly awaiting the Opec meeting on November 27, which could potentially set the tone and the direction of oil prices.
INTERNATIONAL. In the end, it is unlikely that the territorial Islamic State can survive. The truth is that Turkey, Iran and Saudi Arabia are all waiting for the U.S. to solve the problem with air power and a few ground forces. These actions will not destroy IS, but they will break the group's territorial coherence.
dhgate